Pulte Mortgage and Origination Fee (loan, interest rate, credit score, fees)

[michiganalum]

Pulte Mortgage is charging me 1% origination fee and discount fee to buy down the rate. All of this is rolled into the closings costs that Pulte is covering, but I'm wondering if they're overcharging me here.

Any experience with Pulte on this? Any thoughts as to what Pulte is doing here? Thanks!

[Purple_Princess]

If you have at least a 630 average beacon score I would look into the Bank of America No Fee Mortgage. Check it out it has been featured all over the net and in multiple finance magazines

[renriq02]

depends on what your rate is.....and credit score, loan amount, purchase price, etc.

Originally Posted by michiganalum

Pulte Mortgage is charging me 1% origination fee and discount fee to buy down the rate. All of this is rolled into the closings costs that Pulte is covering, but I'm wondering if they're overcharging me here.

Any experience with Pulte on this? Any thoughts as to what Pulte is doing here? Thanks!

[TimtheGuy]

Originally Posted by michiganalum

Pulte Mortgage is charging me 1% origination fee and discount fee to buy down the rate. All of this is rolled into the closings costs that Pulte is covering, but I'm wondering if they're overcharging me here.

Any experience with Pulte on this? Any thoughts as to what Pulte is doing here? Thanks!

Builder's mortgage companies almost always do overcharge.

[sierraAZ]

Originally Posted by TimtheGuy

Builder's mortgage companies almost always do overcharge.

I'm yet to see anybody NOT charging 1% origination fee and discount fees if you want to buy down the rate... It might go by another name, you might end up paying it by accepting higher than market rate (mostly refinancing), but you'll always pay it one way or another. No free lunches out there. It has absolutely nothing to do with credit scores. My scores are unheard of - top point something %.

When I checked B of A's no closing costs deal it wasn't offered on new construction. Don't know if it's changed since then. Since Pulte's closing costs are always covered by the incentives lately, going with B of A would make sense only if their rates were lower than Pulte's, which they are not.

[michiganalum]

Thanks. Just checking to see if I had any last area to negotiate in. My credit scores are 740+ and it's an FHA loan. They upped my rewards to cover the loan discount, so its not a big deal. I locked in at 6.0% last Thursday. They were trying to give me a rate of 6.5%.

[bahopatel]

When I applied for a mortgage, I was told I would get 5.875% lender paid mi and no origination fee, when I received the commitment loan, I was told that I have to pay 4750 for origination fee and the interest rate is 5.99. Now I am 3 weeks away from my closing, Is there something I can do? I have perfect credit. I am so disappointed

[BobKovacs]

If you're going with one of the "$5000 off if you use Pulte Mortgage" deals, expect them to eat up every last penny of that $5k in junk fees- some of those fees would be lower if you went with a different lender, but they wouldn't go away completely, so you're still coming out ahead. Essentially, you're getting nothing from them, but in our case it was worth it to avoid the hassle of having to coordinate the builder, mortgage company, closing attorney, etc.

[BGS99]

Originally Posted by BobKovacs

If you're going with one of the "$5000 off if you use Pulte Mortgage" deals, expect them to eat up every last penny of that $5k in junk fees- some of those fees would be lower if you went with a different lender, but they wouldn't go away completely, so you're still coming out ahead. Essentially, you're getting nothing from them, but in our case it was worth it to avoid the hassle of having to coordinate the builder, mortgage company, closing attorney, etc.

How close was their GFE to the actual closing amount?
I know the prepaid interest can change depending on when you actually close.
We're supposed to close in about 2 months and don't want a big surprise on closing day.

[renriq02]

did you lock in the rate when you applied?

if you didnt, then you must know that the rate changes every day or 2-3 times per day!

Originally Posted by bahopatel

When I applied for a mortgage, I was told I would get 5.875% lender paid mi and no origination fee, when I received the commitment loan, I was told that I have to pay 4750 for origination fee and the interest rate is 5.99. Now I am 3 weeks away from my closing, Is there something I can do? I have perfect credit. I am so disappointed