I am purchasing a home for 362k and my closing costs keep getting higher everyday. I am looking to buy down the loan and that may cost me upwards of $ 6,000 so my total closing costs are around $ 10-11,000.
So $ 6000 in buying down the loan and $ 1800 in prepayment reserves plus all the other fees..
does the amount i pay for buying down the loan and prepayment reserves become a credit? I something along those lines and i am confused..Am i really paying the 6k to buy down the loan or is discounted from my original loan amount??
THANK YOU IN ADVANCE!