What's in the Box?

As of May 2025, there were 16,356 lenders in California.  And of course, since the Fed sets the rates, they all have access to similar rates!  So what sets a lender apart?

When refinancing, ask the lender what their loan costs are in Box A of the Loan Estimate. 

What is Box A of the Loan Estimate?

• Box A- Loan origination fees (points, underwriting, processing).  Lenders typically charge 1-2% of the loan amount, so on a $400k loan, that's potentially $4,000-$8,000.  Obviously, being aware of how much the lender wants to charge is essential when choosing a lender.
• Box B- Appraisal and credit report fees are typically about the same regardless of lender.
• Box C- Escrow and title fees are typically about the same regardless of the lender.
• Box D- This is the total of boxes A-C.
• Boxes E,F,G,H,I- Recording fees and prepaids (taxes and insurance), are typically about the same regardless of lender.

What is Box J of the Loan Estimate? 

• Box J- This is where the lender gives you a credit (if any) to offset the loan charges in Box A.  So if your loan fees in Box A are $2,000, and your lender credit in Box J are -$1,999, you pay just $1 in origination charges. 

What sets Best-Refinance apart is if you qualify, we'd like to propose a lender credit, to cover the loan origination charges.  That is how we can offer loans with just a $1 origination charge.* 

*This is not a commitment to lend.  You must qualify for a refinance based on Fannie Mae, Freddie Mac, or FHA guidelines.  Subject property must be deemed owner-occupied, have a conforming loan amount greater than $300k, and have a qualifying FICO of 700 or above.  Rates and programs are subject to change and without noticed based on an applicant's eligibility and market conditions.