Posts

Early Pay Off Penalties – Six Months Is All We Ask :)

Shockingly, rates have fallen about 1/4% over the last month. We say shockingly b/c we were told that this time they were going up for sure (after about twenty false alarms over the last eight years). And… once again the Fed seems powerless and the experts were wrong. BUT – that is not the point of this blog. […]Read More

Markets Closed; Veteran’s Day; Brutal Early Pay Off Penalties

We are repeating a blog from May b/c we continue to incur so many Early Pay Off penalties, and b/c a Realtor asked about them yesterday. … a borrower informed us that she intended to pay off her mortgage soon after we close b/c she was expecting a windfall from the sale of another property. The […]Read More

Early Pay Off Penalties For Most Mortgages – Fee Paid By Lenders

Yesterday a borrower informed us that she intended to pay off her mortgage soon after we close b/c she was expecting a windfall from the sale of another property. The borrower also wants a “no points” loan. In light of this, we’d rather not close the loan at all b/c we will have to pay […]Read More

“Early Pay Off Penalties” That Originating Lenders Pay

We discussed the general lack of prepayment penalties (they no longer exist) on Monday. But I also mentioned “Early Pay Off” or “EPO” fees. EPO penalties are fees that originating lenders have to pay whenever a loan pays off within four to six months of funding. Borrowers are not responsible for these fees, but borrowers […]Read More