Im closing on a new home in 2 weeks and VERY concerned that my "required" 5% downpayment on my conventional loan is absent from my GFE. My gut says

Asked by Risenwaters, Woodbridge, VA Sun Dec 1, 2013

Something is not right! What should I do?

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6
Suzanne MacD…, Agent, Succasunna, NJ
Sun Dec 1, 2013
BEST ANSWER
Are you using an attorney to do the closing? If so, go over the numbers with your attorney. Or, go over the numbers with your realtor. You should also receive a copy of the HUD, the settlement statement, and go over those figures prior to closing. Make sure the figures quoted in the GFE match the figures on the HUD and question any that do not. I believe your down payment will appear on the HUD and not on the GFE.

This link should help you understand the GFE, what it includes, what is not included, what might change, and what should not change.

http://themortgagereports.com/13738/simple-mortgage-definiti…
1 vote
, ,
Mon Dec 2, 2013
Good afternoon Risenwaters,

Your required down payment does not appear on the Good Faith Estimate of Closing Costs (GFE). Only closing costs appear on the GFE.

You should have received a copy of your Loan Application from your Lender.

If you look at page 4 of the application in Section VII "Details of Transaction" you will see the down payment included with your other costs.

The down payment will appear either on Line "l" or "p" or both. If your Lender credits you for the earnest money deposit you made when you signed the purchase agreement (contract of sale) then you'll see that credit appearing on Line "l." If not, or, if you only made a partial deposit of your total required 5% down payment, then the down payment (full or balance due) will appear along with your other closing costs you're paying in cash at closing on Line "p."

Trevor Curran
NMLS #40140

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
1 vote
Linda Grey, Agent, Port Orange, FL
Mon Dec 2, 2013
That is why it is sent out early, for you to review and ask questions. Be sure to ask the question.
1 vote
Mary Petti, Agent, Edison, NJ
Sun Dec 1, 2013
Speak to the person/company who did the GFE and ask questions of them. Why would you ask this important question in a forum rather than just go to the source for an explanation that satisfies your concerns? You are entitled to a FULL explanation of every $$ on the GFE and in the HUD settlement statement.
1 vote
I did ask and wasn't satisfied with the answer I received. So, I thought I would confirm my suspicions as well as see if there is specific language I need to use to get a better answer.

As a rule of thumb, you shouldn't assume someone who asks a question in this forum has failed to do their homework.
Flag Sun Dec 1, 2013
Tim Moore, Agent, Kitty Hawk, NC
Sun Dec 1, 2013
Discuss it with your loan officer and ask him/her to explain the GFE. They can be confusing but the loan officer should be able to make it clear. Just keep asking questions until you are happy.
1 vote
Phil Rotondo, Agent, Melbourne, FL
Sun Dec 1, 2013
Address your concerns with your Realtor if you're being represented.
If not, contact the lender to correct the situation.
This happens now and then.....it sounds like a simple oversight on the GFE.
1 vote
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