Origination Fee
Updated 04/29/2024

A mortgage origination fee is a one-time cost imposed by a lender to execute a new loan application. The price is remuneration for carrying out the loan. Loan origination costs are often specified as a percentage of the entire loan and range between 0.5 and 1 percent of a mortgage loan in the United States. Origination fees, sometimes known as “discount fees” or “points” when they equal 1% of the loan amount, pay for services like processing, underwriting, and financing.

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