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Rainmaker
1,206,144
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Apr 29, 2017 06:08 PM
Ambassador
4,173,337
Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Originating the loan, of course!

Apr 29, 2017 06:04 PM
Rainmaker
2,631,149
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

for giving birth to the loan....there is a charge

Apr 29, 2017 03:56 PM
Rainmaker
1,453,927
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Fees to the lender for processing the loan.

Apr 29, 2017 03:07 PM
Ambassador
2,559,910
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

Commission to the loan originator.

Apr 29, 2017 02:54 PM
Rainmaker
1,831,495
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

That's a great question for a Licensed Lender...

Apr 29, 2017 02:41 PM
Rainmaker
4,125,316
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Yield and overhead

Apr 29, 2017 02:35 PM
Rainmaker
808,797
Kasey & John Boles
Jon Gosche Real Estate, LLC - BoiseMeridianRealEstate.com - Boise, ID
Boise & Meridian, ID Ada/Canyon/Gem/Boise Counties

What Debe Maxwell, CRS said!-Kasey

Apr 30, 2017 08:12 AM
Rainmaker
2,018,930
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

To increase the Lenders Profit

Apr 30, 2017 04:57 AM
Rainmaker
4,018,914
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

I suggest you ask a lender how they determine fees to write a loan.

Apr 30, 2017 04:37 AM
Rainmaker
3,069,934
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Debe Maxwell, CRS nailed this one!

Apr 30, 2017 03:34 AM
Ambassador
4,312,753
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

The lender feels that should charge at least something...

Apr 29, 2017 11:25 PM
Ambassador
3,986,660
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

It is one of the ways the lender gets paid. There are others.

Apr 29, 2017 05:17 PM
Rainmaker
4,163,455
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

The lender does not do a loan for free..it's the fees for the lender to process the loan. 

Apr 29, 2017 04:01 PM
Rainmaker
1,707,397
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

A cost of getting a mortgage.

Apr 29, 2017 03:48 PM
Rainmaker
1,157,485
FN LN
Toronto, ON

Ask the entity that is charging the fee.

Apr 29, 2017 03:38 PM
Rainmaker
5,571,077
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

revenue for the lender/originator.....

Apr 29, 2017 03:11 PM
Ambassador
4,542,480
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

I would ask a lender to explain what they are for

Apr 29, 2017 02:52 PM
Rainmaker
1,231,599
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

$$$$ for mortgage broker/lender

Apr 29, 2017 02:37 PM
Rainmaker
1,044,289
Dave Martin (703) 585-4687
Fairfax Realty - Fairfax, VA
Making Realty Dreams a Reality #WeWillGetYouHome

Fees to the lender for processing the loan. You can also consider them simply to be upfront interest.

Apr 11, 2018 07:29 PM
Ambassador
5,329,286
Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

So that the LO can get paid.

May 07, 2017 11:39 PM
Ambassador
962,359
John Meussner
Mortgages in AZ, CA, CO, DE, FL, GA, MD, MT, NC, NJ, NV, OK, OR, PA, SC, TN, TX, UT, VA, WV - Walnut Creek, CA
#MortgageMadeEasy Walnut Creek, CA 484-680-4852

For Origination of a Loan.  

 

Ok, fine, I'll play nice:  In today's world, "origination fees" encompass all lender charges, with the exception of 3rd party services and true discount points.  These costs can include underwriting, processing, admin, etc, but are generally lender compensation for originating and getting the mortgage loan to the closing table.  

May 02, 2017 01:56 PM
Rainmaker
3,944,425
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

lenders have to make money too

 

May 02, 2017 08:38 AM
Rainmaker
3,966,882
Richard Weeks
Dallas, TX
REALTOR®, Broker

How the loan officer gets paid.  We call it a commission they call it a fee.

May 01, 2017 05:57 AM
Rainer
318,413
Melissa Jackson
Century 21 Alliance Properties - Azle, TX
Helping You Make The Right Move

Lender fees for getting the loan.

Apr 30, 2017 09:36 PM
Rainmaker
3,405,563
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Many good answers.

Apr 30, 2017 10:08 AM
Rainmaker
1,375,992
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

To pay the man.

Apr 30, 2017 09:49 AM
Ambassador
3,030,043
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

Money and Profit 

Apr 30, 2017 09:06 AM
Rainmaker
4,038,582
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Unless you are a lender, there's no reason to ask this question anonymously.  

Apr 30, 2017 08:58 AM
Rainmaker
814,732
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Bank profits.

Apr 30, 2017 08:16 AM
Ambassador
1,616,354
Harry F. D'Elia III
RentVest - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

great question

Apr 30, 2017 07:50 AM
Rainmaker
1,709,496
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Property Manager

That's how the lender makes money up front.  

Apr 30, 2017 06:46 AM
Rainmaker
6,500,669
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

The origination charges.

Apr 30, 2017 06:02 AM
Rainmaker
4,799,481
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

For originating loans.

Apr 30, 2017 05:19 AM
Rainmaker
4,433,583
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Lender fees.

Apr 30, 2017 03:09 AM
Rainmaker
5,489,255
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

You have great answers already.

Apr 29, 2017 08:51 PM
Rainmaker
1,145,570
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

Another way to go after borrower's wallet.

Apr 29, 2017 08:11 PM
Rainmaker
3,315,849
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

A lender earns money two main ways, called points which say you can pay 2 points for the lowest interest rate, 1 point for an average rate or no points for a higher rate. The lender also earns money on the rate you are charged. the higher the rate, the more they earn on what is said to be the back of the loan. 

Apr 29, 2017 05:06 PM
Rainmaker
1,525,205
Sybil Campbell
Fernandina Beach, FL
Referral Agent Amelia Island Florida

Dorie Dillard gave you a great answer.

Apr 29, 2017 04:27 PM