Did You Forget To Budget For This When Buying A New Home?

Ryan Homes at Brunswick Crossing recommends that buyers use our in-house lender, NVR Mortgage, for mortgage financing that you can trust. You can be assured of personalized communication with your own loan officer who will guide you through the intricacies of the home buying process.
You'll have the peace of mind that comes with the accountability of a company that's committed to serving only the buyers of NVR-affiliated builders (Ryan Homes, NVHomes, and Heartland Home), and the financial strength it takes to offer you a variety of financing options to best meet your needs and budget.

In addition to a down payment, certain fees can be expected in the good faith estimate provided by your NVR Mortgage loan officer. He or she will thoroughly explain everything to you, but in a nutshell, we've listed a few items that are typically a part of the process. Don't hesitate to ask your loan officer to repeat an explanation or give you additional details:

  • Appraisal fee. According to The Balance, a financial empowerment website, "An appraisal fee covers the cost of having a professional appraiser evaluate a home and estimate [its] market value. Without an acceptable appraisal, you cannot borrow to purchase a home."

  • Credit report fee. You'll authorize NVR Mortgage to access your credit report as a part of the loan application and approval process.

    (For your own informational purposes, 
    according to Nolo, an online legal and business advisor, "Every 12 months, you're entitled to a free credit report from each of the three nationwide credit reporting agencies, also called credit bureaus."

    If you need another copy from EquifaxExperian, or Transunion within that 12-month period, you can pay a small fee for it.”) 

  • Document preparation fee. A fee that lenders, brokers, and/or settlement agents charge for preparation of necessary closing documents.
  • Escrow fee. Escrow is where the payment for your new home will reside while you finalize everything. 
  • Points or origination fees. According to Bible Money Matters, a personal finance blog, "Each point is one percent of the mortgage value."

    Your NVR Mortgage loan program may or may not require points or origination fees. Your NVR Mortgage loan officer will discuss options with you.

  • Private mortgage insurance (PMI). Private Mortgage Insurance protects the bank against non-payment if you weren’t able to pay your loan. If you can swing it, a 20 percent down payment can help you to avoid PMI.

    However, other lending options can minimize or eliminate the PMI, so ask your NVR Mortgage loan officer to explain.

  • Property taxes. A new home is considered "real property" and is taxed by federal, state, county, and municipal entities. Property taxes are typically income-tax deductible, so ask your NVR Mortgage loan officer for further explanation.

  • State recording fees. These depend on state requirements, but for our community, you can get information about the Recording Surcharge, Land Record Fee, State Recordation Tax, and more at Maryland Courts

  • Survey fee. A property survey reflects the precise measurement of your property and is prepared by a licensed surveyor. In some states, a survey is required by a title company to issue a title insurance policy.

  • Tax service fees. A tax service fee is typically paid by the buyer at the time of purchase to ensure that you’ll pay taxes on your new home.

  • Title insurance. Title insurance covers new buyers (usually buyers of existing "resale" houses) in the unlikely event that the person who sold you the house didn't really own it.

  • Notary public charge. According to The Balance, "A notary verifies the signatures of everybody signing the document. This helps to ensure that signatures are not forged, and that nobody is forced to sign the document."