Fees When Buying A: House

: The lender charged a fee to process and "underwrite" their mortgage application, often starting at 0.5% to 1% of the loan .

: To show they were serious, they put down about 1% to 3% of the purchase price ($4,000–$12,000) into an Escrow Account , which would eventually count toward their down payment .

Finally, at the closing table, Sarah and Mike had to "prepay" for certain future expenses: fees when buying a house

: A title company charged about $300–$2,500 to search public records and ensure no one else could claim ownership of the home .

As the closing date approached, the administrative costs—often called —began to stack up, typically totaling 2% to 6% of the loan amount : : The lender charged a fee to process

Here is the story of the fees they encountered on their way to the front door: The "First Impressions" Fees

Before they could even finish the paperwork, Sarah and Mike had to open their wallets for early due diligence: As the closing date approached

Meet Sarah and Mike. They just found their dream cottage for $400,000. They have their 20% down payment ready, but their lender just handed them a "Loan Estimate" that made them realize the sticker price was only the beginning.