504 LOANS FINANCE
504 LOAN FEES
|Growth Corp Processing Fee||1.500%|
|Loan Servicing Agent Fee||0.250%|
|Bond Underwriter (20 year bonds)||0.400%|
|SBA Guarantee Fee||0.500%|
|Closing Attorney Fees||$2,500|
|Fee to Bank, due before Closing||0.5% of First Mortgage Fee|
Borrower is responsible for paying for closing items, including, but not limited to, credit reports, title work, recording and search fees. Growth Corp will charge the borrower 1% of the 504 loan amount, with a minimum of $2,500, to cover these costs upon loan approval and refund any balance at funding.
The Commitment Fee – Explained
Quite a few people get confused about this. The commitment fee is essentially a deposit. As stated in Section III of your application agreement, “the commitment fee, together with the application deposit, will be used to pay for the closing costs, including, but not limited to, credit reports, title insurance, recording and search fees, Growth Corp legal fees, and all other out-of-pocket costs”. Growth Corp will send a statement detailing the costs paid from these funds together with a refund of the balance, if any, after the loan is funded. (Please note: the loan cannot proceed with closing until these fees are paid in full.)
What to Expect and When
SBA 504 LOANS
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