Order a Good Faith Estimate
We Provide Good Faith Estimates
Good Faith Estimates are really very helpful to the home buying process. Buying a home can be intimidating but it doesn't have to be. It's really like putting together a jigsaw puzzle so all you need do is find the right people who can provide the pieces and help you put them together. The Real Estate Settlement Procedures Act (RESPA) provides that every consumer is entitled to receive a Good Faith Estimate (GFE) at the time of loan application. At this point you should know all the closing costs associated with the purchase, the details concerning the escrow account setup for taxes, insurance and private mortgage insurance (PMI) or mortgage insurance premium (MIP) in the case of an FHA loan. But wait a minute.....What does "at the moment of loan application mean?" It means, in most cases, that you have alreading entered into a real estate contract for purchase. The contract generally provides that you make loan application immediately. There's nothing wrong with this because, as a rule, most standard real estate contracts for purchase provide a contingency clause which voids the contract in the event that your loan is not approved. But, even so, wouldn't it be great to have a GFE before you even make an offer? This can be very helpful information at the very beginning of your home search. It can help you budget for monthly payments, it can tell you the total funds that you need at closing in the form of a cashiers check, it can help you determine your maximum contract price, it can show you your total monthly payment including principle, interest, taxes, insurance and pmi/mip, it can show you your actual APR considering certain required closing cost, and most importantly, it can provide you with the piece of mind you need for a decision to go ahead with an offer.
Knoxvillehouses.com provides free GFEs upon request. Please send an email to GFE@knoxvillehouses.com with GFE in the Subject line. We will need the following information.
- Sales price you would like to use
- The amount of your down payment
- The annual city taxes
- The annual county taxes
- What you estimate the annual insurance will cost
- The interest rate on the loan.
This will be delivered to your in box in PDF form. This form will also give you information regarding the 30 year fixed rate, the 15 year fixed rate, and the 3, 5, and 7 year arms.
This document is designed to provide general information based on data obtained from various industry sources. It is for estimation purposes only and should not be relied upon as being accurate for a particular transaction. THIS IS NOT A RESPA OR TRUTH IN LENDING DISCLOSURE. ONLY YOUR LENDER CAN PROVIDE YOU WITH INFORMATION YOU CAN RELY UPON. THE PROVIDER ASSUMES NO LIABILITY TO THE USER.
Want more information? http://www.hud.gov/offices/hsg/sfh/res/200803/5180GFE.pdf