Please help me with Good Faith Estimate, especially block A

This quote is not only a good quote, but it's probably lower than you would ever get from any local bank.. Although others here might suggest they can "beat" that deal, and I'm sure they can, it would only be because you have told them everything about your original deal. This loan is not a rip-off.. The $5950 in block one includes his compensation, the brokers processing fee, the lenders underwriting fee, and any other fees the government says must go in this block.. he is offsetting Block 1 with a CREDIT of nearly $2000 more than your being charged.. so your NET fee to the broker is $-2000 CREDIT... all the other charges are 3 party and mandatory impounds, which he has no control over.. if you don't want your loan to go up, tell him your coming in with $6K, but as far as the deal goes.. it's VERY fair..I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

So let me see if I get this right. You are being charged an origination fee of 1.5%, but you end up with a net credit of 0.5% meaning your net charge for the origination of this loan is $2,000 paid to you, you are doing a $400,000 HARP loan and you are getting a rate of 3.875% and you think you are being charged too much. Really? 3.875 is a smoking rate, even today. Your broker can only be paid by you or by the lender, but not both. It is likely the "Lender Fee" you see is the fees charged by the investor you are being locked with, and goes to the investor and not your broker. As for not wanting to roll your impounds into the new loan. Tell him. It's an easy adjustment to lower your loan amount and have you bring the difference to escrow. Also, as long as you are bringing money to the table, ask how much it would cost you to drop the rate to 3.75% and not get the credit. You'll probably be shocked at the extra cost for that small drop in the rate. Your broker most likely picked the rate because part of our job is to balance the rate and the cost to provide the best blend for our borrowers. Finally, it amazes me how many people think their broker is making too much money on a transaction. We don't. Compensation for our industry is down significantly from just a few years ago. No matter how you slice it, this is a great deal. You shouldn't pass it up. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ www.LoansA2z.com ~ 888-889-9950

Hello, the reason why you see a charge & and a lender credit is because by law lenders have to list every fee even though you might receive a lender credit to offset those fee's. Rates are at all-time low's and if you are planning on staying in the home for a long period of time, then you may want to spend 3-5 minutes to see what we can qualify you for. We are ranked #4 lender in CA, we usually have the lowest rates in the nation, and we will provide exceptional service. Depending on your exact situation, we have given out rates around the 3.375% & 3.50% and even lower if you are wanting to buy down the rate. Please feel free to contact me at jolson@afnmortgagelenders.com or 949.491.8607, thank you.

You are getting a good deal. How can your origination charge be too high when you are actually getting a credit and it is a negative number for your origination charge. The broker is not making extra money from you. You can thank the government for making things confusing for the borrower.