A home loan often involves many fees, such as the appraisal fee, title charges, closing fees and state or local taxes. These fees vary from state to state and also from lender to lender.To assist you in evaluating our fees, we've grouped them as follows: Third Party Fees: Fees that we consider third party fees include the appraisal fee, the credit report fee, the settlement or closing fee, the survey fee, tax service fees, title insurance fees, flood certification fees, and courier/mailing fees. Third party fees are fees that we will collect and pass on to the person who actually performed the service. For example, an appraiser is paid the appraisal fee, a credit bureau is paid the credit report fee and a title company is paid the title insurance fees. Typically, you will see some minor variances in third party fees from lender to lender. A lender may have negotiated a special charge from a provider they use often or chooses a provider that offers nationwide coverage at a flat rate. Taxes and Other Unavoidables: Fees that we consider to be taxes and other unavoidables include: State/Local Taxes and recording fees. Lender Fees: Fees such as discount points, document preparation fees and loan processing fees are retained by the lender and are used to provide you with the lowest rates possible. Required Advances: You may be asked to prepay some items at closing that will actually be due in the future. These fees are sometimes referred to as prepaid items. One of the more common required advances is called 'per diem interest' or 'interest due at closing'. All of our mortgages have payment due dates of the 1st of the month. If your loan is closed on any day other than the first of the month, you will pay interest, from the date of closing through the end of the month, at closing. For example, if the loan is closed on June 15, we will collect interest from June 15 through June 30th at closing. This also means that you will not make your first mortgage payment until August 1st. An escrow or impound account will be established, you will make an initial deposit into the escrow account at closing so that sufficient funds are available to pay the taxes and insurance bills when they become due. If your loan requires mortgage insurance, up to two months of the mortgage insurance will be collected at closing. Whether or not you must purchase mortgage insurance depends on the size of the down payment you make. If your loan is a purchase, you will also need to pay for your first year's homeowner's insurance premium prior to closing. We consider this to be a required advance.Ask your loan advisor for details.