| what are the rules for banks charging points on a home loan? Hello to all, hope this is the right place to post this...
there was a discussion between two of my friends who is in the process of buying homes here in nyc. and one of the topics that came up was points on a loan. the question is what is the average points that a bank will charge on a loan in NY ( if it changes from state to state ). One friend was told from one bank/mortgage lender that they will only charge 1 point ( and the norm is 2 points) and this will save them money during closing. While the other friend was told that it is illegal for a bank to charge any points on a fha loan. Is anyone familiar with the point process on fha loans. What had me confused was I thought federal loans(fha's) was a lot more strict against scams. any info well appreciated.
Ps. the one friend who was told its illegal to charge points, heard this from a real estate confidant from NJ thats why I asked if the rules changed from state to state
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 AVDRespice, Adspice, ProspicePremium
join:2003-02-06
Onion, NJ | the more points you pay the lower your loan.
Most mortgages are still available for 0 points. What is important is the down payment and the percentage of the down payment vs the appraised value. |
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