My wife and had our offer accepted on our first home this past Monday. Great house. nice neighborhood. great deal. We can't wait. Closing at the end of February.
When we were coming up with the offer we were talking with our mortgage broker and she gave us an idea for a GFE (making some estimates). We then took that number and (about $6450) and added it to our offer for the house. We then asked for a $6000 concession for closing costs (We were also putting down $500 in earnest money, so that should cover most all of the closing costs, we thought.)
Our offer was accepted. We were paying $116k for the house, and they were paying $6000 in closing costs.
When the real GFE came back our broker discovered that some of her estimates were high, and this loan is going to close at approximately $5800.
The vergage in our signed sales contract says "Seller to pay all points, prepaids, and closing costs up to $6000".
I have 2 questions.
1. Our earnest money deposit isn't needed to cover the closing costs of the loan. And since the verbage they agreed to clearly says "ALL closing costs", should I get a refund at closing of my earnest money deposit?
2. I just paid the appraisal fee ($300) to our broker today, should I also be credited back with this at the closing table?
This is our first purchase, so we really don't know much about how the process works. All opinions are appreciated.
When we were coming up with the offer we were talking with our mortgage broker and she gave us an idea for a GFE (making some estimates). We then took that number and (about $6450) and added it to our offer for the house. We then asked for a $6000 concession for closing costs (We were also putting down $500 in earnest money, so that should cover most all of the closing costs, we thought.)
Our offer was accepted. We were paying $116k for the house, and they were paying $6000 in closing costs.
When the real GFE came back our broker discovered that some of her estimates were high, and this loan is going to close at approximately $5800.
The vergage in our signed sales contract says "Seller to pay all points, prepaids, and closing costs up to $6000".
I have 2 questions.
1. Our earnest money deposit isn't needed to cover the closing costs of the loan. And since the verbage they agreed to clearly says "ALL closing costs", should I get a refund at closing of my earnest money deposit?
2. I just paid the appraisal fee ($300) to our broker today, should I also be credited back with this at the closing table?
This is our first purchase, so we really don't know much about how the process works. All opinions are appreciated.