What Is a Manual Processing Fee?
Homebuyers who finance their house purchase with a mortgage incur several costs. The loan and the interest rate are the two costs everyone knows exist. Thereafter, the homebuyer incurs a series of fees including the manual processing fee.
The mortgage processing process is far more efficient in 2021 than it was a decade ago. Despite the number of software and technology tools available to loan specialists and underwriters, some steps require manual processing. For example, lending individuals ensure that payments are posted correctly. They also ensure that requested drawdowns remain within the parameters of the loan.
Mortgage fees equal one to five percent of a home loan’s total value. They include the settlement costs, monthly maintenance, and property valuation costs. This adds another three to 10 thousand dollars to the mortgage. It’s possible to integrate these costs into the loan. You can also pay them upfront.
Homebuyers who seek to eliminate mortgage fees can opt for the Mortgage House no-fee home loan.
Keep in mind that things balance out when it comes to debt. Methods that lower overall costs exist, especially with a non-bank lender such as Mortgage House. Since 1986, our team has remained at the forefront of lending innovation.
Our loan specialists work with you to optimise your savings. New and existing clients can explore their options with our team. You can also try our mortgage repayment calculator.
Manual Processing Fee Conclusion
All home loans incur a set of fees including the manual processing fee. If you prefer a no-fee mortgage, Mortgage House has options. For more information, contact our loan specialists.