Question:

What is the maximum origination fee in Florida?

Answer:

According to RESPA (Real Estate Settlement Procedures Act), the maximum origination fee in Florida is 8% of the loan amount. However, although origination and discount points are usually distinguished from other origination fees, such as title and processing fees, per RESPA all those fees count towards the 8% limit.

To summarize, in Florida the maximum origination fee is limited by a cap of 8% and it includes loan origination and discount points, plus additional loan processing fees.

Usually, the maximum origination fee in points doesn't exceed 2% of the loan, and discount points depend on how much off the rate the borrower wants to buy. If rates tend to be low, discount points are rarely bought upfront.

With a no-cash loan, some of those fees can be rolled into the loan, but if the cash you paid in closing is less than what you paid in origination fees, origination and discount points will not be tax deductible.

Mortgage rates hit their lowest since 1955. Ask the home loan experts we recommend Quicken Loans how to take advantage of them.
Was this Mortgage QnA helpful?
Not at all
  • Currently 3/5 Stars
  • 1
  • 2
  • 3
  • 4
  • 5
Definitely
Add to this Answer

Mortgage QnA is not a common forum. We have special rules:

  • Post no questions here. To ask a question, click the Ask a Question link
  • We will not publish answers that include any form of advertising
  • Add your answer only if it will contrubute to the quality of this Mortgage QnA and help future readers
If you have trouble reading the code, click on the code itself to generate a new random code. Verification Code Above:
Bookmark and share this QnA: