Escrow Cost Sheet

Page 1

CLEAR FORM

E S T I M AT E D C O S T S H E E T

TYPE OF SALE

SELLER ___________________________________________________________________ CASH

NEW LOAN

FHA

VA

CONV.

BUYER ___________________________________________________________________ Sales Price..............................

$ __________________________

Down Payment .......................

$ __________________________

PARCEL# __________________________________ TAXES $ ____________________

Loan Amount ..........................

$ __________________________

ESTIMATED COST SHEET PREPARED BY: ___________________________________

Points/Loan Serv. Fee Quote ______________________________

ADDRESS _________________________________________________________________

CASH SALE

- E S T I M AT E D C O S T S :

SELLER

BUYER

1.

Reconveyance/Satisfaction Fee .......................................................................................

$ ____________________________

$ __________________________

2.

Tax Proration See Note ....................................................................................................

$ ____________________________

$ __________________________

3.

Insurance: If new; 1st year. If assumed; proration .............................................................

$ ____________________________

$ __________________________

4.

Assessments payoff or proration (sewer, paving, etc.) .....................................................

$ ____________________________

$ __________________________

5.

Homeowners Association Transfer Fee ............................................................................

$ ____________________________

$ __________________________

6.

Current Homeowners Association Payment Proration ....................................................

$ ____________________________

$ __________________________

7.

Next Month’s Homeowners Association Payment ...........................................................

$ ____________________________

$ __________________________

8.

Termite Inspection ............................................................................................................

$ ____________________________

$ __________________________

9.

Property Inspection ..........................................................................................................

$ ____________________________

$ __________________________

10.

Home Warranty Premium .................................................................................................

$ ____________________________

$ __________________________

11.

Owners Title Policy Based on sales price ........................................................................

$ ____________________________

$ __________________________

12.

Recording Fees ................................................................................................................

$ ____________________________

$ __________________________

13.

Escrow Fee Based on sales price ....................................................................................

$ ____________________________

$ __________________________

14.

Real Estate Commission – Listing Agent..........................................................................

$ ____________________________

$ __________________________

15.

Real Estate Commission – Selling Agent .........................................................................

$ ____________________________

$ __________________________

TOTALS:

0.00 $ ____________________________

0.00 $ __________________________

Buyer’s Approximate Monthly Payment

Estimated Proceeds to Seller

Estimated Costs to Buyer

Principal and Interest............................... $ ___________

0.00 Total Sales Price .......................... $ __________

0.00 Down Payment .............................................. $ ___________

Tax Impounds .......................................... $ ___________

Less: Current Mortgage Owed .... $ __________

0.00 Plus: Estimated Costs Above ........................ $ ___________

Fire Insurance Impounds ......................... $ ___________

0.00 Subtotal: Estimated Equity .......... $ __________

Less: Financed FHA/MIPNA Funding Fee ..... $ ___________

Flood Insurance Impounds...................... $ ___________

0.00 Less: Estimated Costs Above ..... $ __________

0.00 EST. COSTS: $ _______________________________________

PMI Impounds If Conventional loan ....... $ ___________

0.00 EST. PROCEEDS: $ _______________________ Print Form

Homeowners Association Fee................. $ ___________

0.00 EST. PAYMENT: $ _________________________________

Seller Initials _________

Date ___ / ___ / ___

Buyer Initials _________

Date ___ / ___ /


CLEAR FORM

E S T I M AT E D C O S T S H E E T

TYPE OF SALE

SELLER ___________________________________________________________________ CASH

BUYER ___________________________________________________________________ ADDRESS _________________________________________________________________ PARCEL# __________________________________ TAXES $ ____________________ ESTIMATED COST SHEET PREPARED BY: ___________________________________

NEW LOAN

FHA

CONV.

Sales Price..............................

$ __________________________

Down Payment .......................

$ __________________________

Loan Amount ..........................

$ __________________________

Points/Loan Serv. Fee Quote ______________________________ SELLER

NEW LOAN - ESTIMATED COSTS:

VA

BUYER

1. Origination Fee 1% of base loan amount .......................................................................

$ ____________________________

$ __________________________

2.

Discount Points _____% ...................................................................................................

$ ____________________________

$ __________________________

3.

Credit Report ....................................................................................................................

$ ____________________________

$ __________________________

4.

Document Preparation Fee (Charge to Seller on FHA/VA) ...............................................

$ ____________________________

$ __________________________

5.

Appraisal or Extension Fee ...............................................................................................

$ ____________________________

$ __________________________

6.

Interest Proration on Seller’s Loan See Note...................................................................

$ ____________________________

$ __________________________

7.

Reconveyance/Satisfaction Fee .......................................................................................

$ ____________________________

$ __________________________

8.

Prepaid Interest Approx. 30 days ....................................................................................

$ ____________________________

$ __________________________

9.

FHA MIP, VA Funding Fee or PMI Premium, as applicable ..............................................

$ ____________________________

$ __________________________

10.

Tax Service Contract Never charge Buyer on VA ............................................................

$ ____________________________

$ __________________________

11.

Tax Proration See Note ....................................................................................................

$ ____________________________

$ __________________________

12.

Tax Impounds See reverse side for guideline ..................................................................

$ ____________________________

$ __________________________

13.

Fire Insurance 1st year + 2 months impounds = 14 months ...........................................

$ ____________________________

$ __________________________

14.

Flood Insurance 1st year + 2 months impounds = 14 months ........................................

$ ____________________________

$ __________________________

15.

Assessments payoff or proration (sewer, paving, etc.) .....................................................

$ ____________________________

$ __________________________

16.

Homeowners Association Transfer Fee ............................................................................

$ ____________________________

$ __________________________

17.

Current Homeowners Association Payment Proration ....................................................

$ ____________________________

$ __________________________

18.

Next Month’s Homeowners Association Payment ...........................................................

$ ____________________________

$ __________________________

19.

Termite Inspection ............................................................................................................

$ ____________________________

$ __________________________

20.

Property Inspection ..........................................................................................................

$ ____________________________

$ __________________________

21.

Home Warranty Premium .................................................................................................

$ ____________________________

$ __________________________

22.

Lenders Title Policy & Endorsements Based on loan amount .........................................

$ ____________________________

$ __________________________

23.

Owners Title Policy Based on sales price ........................................................................

$ ____________________________

$ __________________________

24.

Recording Fees ................................................................................................................

$ ____________________________

$ __________________________

25.

Escrow Fee Never charge Buyer on VA ...........................................................................

$ ____________________________

$ __________________________

26.

Real Estate Commission – Listing Agent..........................................................................

$ ____________________________

$ __________________________

27.

Real Estate Commission – Selling Agent .........................................................................

$ ____________________________

$ __________________________

28.

Endorsement ....................................................................................................................

$ ____________________________

$ __________________________

29.

Other (_____________________) ........................................................................................

$ ____________________________

$ __________________________

TOTALS:

0.00 $ ____________________________

0.00 $ __________________________

Buyer’s Approximate Monthly Payment

Estimated Proceeds to Seller

Estimated Costs to Buyer

Principal and Interest............................... $ ___________

0.00 Total Sales Price .......................... $ __________

0.00 Down Payment .............................................. $ ___________

Tax Impounds .......................................... $ ___________

Less: Current Mortgage Owed .... $ __________

0.00 Plus: Estimated Costs Above ........................ $ ___________

Fire Insurance Impounds ......................... $ ___________

0.00 Subtotal: Estimated Equity .......... $ __________

Less: Financed FHA/MIPNA Funding Fee ..... $ ___________

Flood Insurance Impounds...................... $ ___________

0.00 Less: Estimated Costs Above ..... $ __________

0.00 EST. COSTS: $ _______________________________________

PMI Impounds If Conventional loan ....... $ ___________

0.00 _______________________

EST. PROCEEDS: $

Print Form

Homeowners Association Fee................. $ ___________

0.00 EST. PAYMENT: $ _________________________________

Seller Initials _________

Date ___ / ___ / ___

Buyer Initials _________

Date ___ / ___ /


E X P L A N AT I O N O F E S T I M AT E D C O S T S

APPRAISAL. A fee charged by an appraiser to render an opinion of market value as of a specific date. Required by most lenders to obtain a loan.

ASSESSMENT. A lien on a property securing payment, i.e., public improvements, delinquent homeowners association fees.

ASSIGNMENT FEE. A fee charged by the lender to cover the expense of the transfer of the loan.

ASSUMPTION PROCESSING FEES. All fees, including assumption, transfer and/or processing fees charged by the lender to process the records of the existing loan into the buyer’s name.

COLLECTION SET-UP FEE. A one-time fee

charged by a company acting on behalf of the lender and borrower to set up the servicing of the loan, according to the Note and mutual written instructions. May also be set up to impound for taxes/insurance. NOTE: Collection setup fees do not include annual or close-out costs.

CREDIT REPORT FEE. A fee charged by the lender to obtain the credit history of the buyer(s).

DOCUMENT PREPARATION FEE. A fee

charged by the lender for the preparation of documents necessary to fund the loan.

ESCROW FEE. A fee charged by the escrow

company as a neutral third party to carry out the procedures necessary to transfer ownership of property.

FIRE INSURANCE. The first annual premium, plus 2 months, for fire and extended coverage insurance to cover loss of the property. (Usually called Homeowners Insurance.) In the event of a condominium property, coverage for personal property (contents) may also be needed.

FLOOD INSURANCE. A form of hazard insurance

that may be required by the lender as a condition of making the loan. NOTE: Does not cover personal property.

HOME WARRANTY FEE. A fee charged by a

private company to cover specified defects. Coverage and deductibles vary with the provider and plan. Both new and resale homes may be warranted.

HOMEOWNERS ASSOCIATION TRANSFER FEE. The amount at close of escrow that is due in

payment of the Homeowners Association. The fee is charged by the Association to transfer ownership records.

INTEREST PRORATION. An estimated amount

of interest due at closing. Interest is collected in arrears and therefore must be collected from the last monthly loan payment to closing or payoff.

LENDER POLICY AND ENDORSEMENTS. An insurance premium charged by the title company to insure lender that encumbrance is a first lien on the property. Fee based on loan amount. Refer to rate chart “Simultaneous Extended Loan Policy” rates. Lender is beneficiary.

LOAN DISCOUNT POINTS. A fee charged by the

lender to make a loan at a given interest rate. One point equals one percent of the total loan amount and fluctuates depending on the interest rate and availability of money for loans.

LOAN PAYMENT DUE. The payment amount due from the seller at the close of escrow and/or, in the case of an assumption of the existing loan, the next payment due from the buyer. Jan. & Jul. – 5 Months

May & Nov. – 3 Months

Apr. & Oct. – 2 Months

Mar. & Sept. – 1 Month

Feb. & Aug. – 0 Months

Jun. & Dec. – 4 Months

MIP or PMI IMPOUND. An amount for MIP or PMI is required under certain circumstances and collected by the lender and held in the impound account to insure that adequate funds are available to pay the next year’s premium. Usually equivalent to 2 months of the annual premium.

MIP or PMI PREMIUM. An insurance premium to

protect the lender against loss incurred by loan default, thus enabling the lender to lend a higher percentage of the sales price. Mortgage Insurance Premium (MIP) is charged for FHA loan; Private Mortgage Insurance (PMI) is charged for Conventional loan. This is NOT credit life insurance that pays off the loan incase of death.

ORIGINATION FEE. A loan processing fee charged by the lender for originating a new loan.


E X P L A N AT I O N O F E s ti m ate d C o s t s

Owner’s Title Policy. An insurance premium charged by the title company to insure buyer that the title is free from defects up to the date the conveying instrument is recorded. Buyer is beneficiary.

Payoff Fee. A fee charged by the lender or collection company for payoff information.

Payoff Penalty. A prepayment penalty under a

Promissory Note that may be imposed by the lender when the loan is paid off before it is due.

Prepaid Interest. The amount of interest to

cover the period from close of escrow until the beginning of the first payment.

Property Inspection Fee. A fee charged

by a private company or individual(s) to examine and report on the condition of a property. Report may or may not warrant condition.

Real Estate Commission. A fee paid to a

real estate broker as compensation for services rendered.

Reconveyance/Satisfaction Fee.

A fee charged by the lender to execute the Deed of Reconveyance, or Satisfaction, when the existing note is paid off.

County Recorder’s Office for recordation of appropriate instrument(s).

Tax Impounds. An amount for taxes required and collected by the lender/collection agent and held in the impound account to insure adequate funds are available to pay the taxes. The amount varies according to the closing month. Following is a guideline only; check with your lender:

Tax Proration. An amount due for taxes accrued but not yet due and payable. Taxes are generally prorated to the day of closing. Verification for paid/unpaid taxes can be made through the County Assessor’s Office.

Tax Service Contract. A fee charged by

the lender to insure the tax bill is mailed to the lender for payment from the appropriate impound account.

Termite Infestation Report Fee. A

fee for an inspection to verify there is no current wood infestation and/or current or past damage done by wood infestation.

VA Funding Fee. A fee charged by the Veteran’s

Administration to guarantee the loan to a qualified veteran.

ENDORSEMENT CHECKLIST

PROPERTY TAXES

This checklist comprises the endorsements most frequently requested by lenders. Should you encounter requests for other endorsements, consult your Rate Manual, your Branch Manager, or your Title Officer for assistance.

Assessed on a calendar year (Jan.-Dec.). Payment dates are as follows:

ENDORSEMENT

DESCRIPTION

8.1 Environmental Protection

Recording Fees. Fees charged by the

FEE

$50 - Residential (Unless Builder Rate Applies) $100 - Commercial

100.12

Violation CC&R’s

$75

100.13

Insures Lien Superior to CC&R’s

$75

103.1

Insures Against Damage by Reason of Easement Use

$75

103.5

Insures Against Damage by Attempted Removal of Water

$75

Amends Arbitration Clause Contained in Policy

$75

Waiver of Arbitration

115.2

PUD Endorsement

$50

111.5

Variable Rate

$50

First half taxes (Jan. 1 - Jun. 30) for current year: Due on: October 1st of the current year Delinquent on: November. 1st of the current year Second half taxes (Jul. 1 – Dec. 31) for current year: Due on: Mar. 1st of the following year Delinquent on: May 1st of the following year Example – Taxes for the year 2005: First half taxes due Oct. 1, 2005; delinquent Nov. 1, 2005 Second half taxes due Mar. 1, 2006; delinquent May 1, 2006 Examples of Prorated Annual Property Taxes of $1,200: Closing date Dec. 1: Seller should have paid first half (Jan. 1 – Jun. 30) on Oct. 1st. Seller pays 5 months (Jul. 1 – Nov. 30) of second half or $500 at closing and any delinquent taxes. Note: Taxes for the day of the closing are traditionally the responsibility of the Buyer.


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