What good is a Good Faith Estimate?

Sep 7, 2012
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#1
Looking forward to buying. I'm shopping for loans and not getting the info I need.
They are sending the "Good Faith Estimate (GFE). But, this
doesn't tell me how much money I need to bring to closing.
What should I ask for?

Thanks!

WW
 

Peaches Delight

Knows the Ropes
Sep 7, 2012
25
7
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#2
Your lender will need to know the sales price. Also, if the seller is paying any of your closing costs.

Peaches.
 
#3
Ask for the Itemized Details of Transaction. Typically two pages:
1- closing cost breakdown
2- the entire transaction summary - monthly payment, escrow amount, cash to close.

Far more informative than the Good Faith Estimate.
 

rlpnl123

TREF Member
Jan 20, 2014
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US
www.rlpnl.com
#5
An estimate of the fees due at closing for a mortgage loan that must be provided by a lender to a borrower within three days of the lender taking a borrower's loan application. A good faith estimate is required by the Real Estate Settlement Procedures Act (RESPA). While the form of the estimate is standardized across the industry to allow borrowers to compare costs between lenders, it is key to note that it is only an estimate, and the true figure can sometimes be different.