Does Waived Mean Free?
Potential borrowers and homeowners who are contemplating applying for a specific home loan product may want to know about fee waivers and if waived means free. A waived fee refers to full or partial release from being required to fund a specific type of fee.
Occasionally, home loan lenders will offer application fee waivers to their new or existing clients as a bonus. This allows the applicant to avoid paying for the application fee, which covers the administrative work that goes into reviewing, checking, and processing each home loan application. Home loan lenders will either waive the application fee up front, or reimburse the applicant once they have gained approval.
Potential borrowers and homeowners who have applied for a home loan still have the potential of gaining access to an application fee waiver even if their home loan lender has not offered it. Applicants who have gained approval on their application have the best chances of receiving a waiver for their application fee by negotiating a waiver with their home loan lender during the home loan interest rate, repayment frequency, and terms negotiation process.
Potential borrowers and homeowners who are concerned with the various types of ongoing and upfront fees associated with home loan applications should look into no-fee home loans or inquire with their home loan lender about rolling the required fees into their mortgages.
A no-fee home loan refers to a type of home loan that waives the upfront and ongoing fees and expenses associated with home loans, allowing the borrower to potentially save thousands of dollars over the life of their loan.