Cost for GA Home Loans Going Up

money-crunchOn May 12, 2010 Georgia’s Governor Sonny Purdue signed a bill raising the Georgia per loan fee from $6.50 to $10.00.  This fee will be collected by Georgia mortgage lenders and bankers and is remitted to Georgia’s Department of Banking and finance for each residential mortgage closed in Georgia.  Although the $3.50 is not a big increase in fees to borrowers, it is another way that the mortgage consumer is hit with higher cost when obtaining a loan.  Because of all of the new compliance laws and regulations, mortgage companies are having to hire compliance officers and more processors.
The loan process is taking longer than ever to process a loan, which means the number of loans a processor can process is declining causing companies to add staff to keep up.  The downside of compliance and more regulation is increased cost to the consumer.  Georgia Home Buyers can expect to see higher fees when they purchase or refinance a loan.  Also, buyers that try to obtain a Georgia home loan can expect loans to take a little longer to process for most mortgage lenders.  However, Academy Mortgage is still offering its 18 day close guarantee.

Although compliance and regulation are needed in the mortgage industry, hopefully we can find a happy median where cost doesn’t rise too high for the consumer.

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