Very often clients come to me and ask if they can include closing costs in their new mortgage, there's a misconception that, that this can be done. Generally when it looks like it's done, is when it's a refinance mortgage, and the mortgage amount is structured in a way that it covers the actual need for the mortgage to pay out the existing mortgage, and then also an amount to pay. Any closing costs or any extra, extra costs incurred at the closing itself, or payout and consolidate other loans, credit cards, etc. So the short answer is, it can be included if the mortgage amount is able to be increased to do so. but on a purchase standpoint, it must be separate from the mortgage itself. So the first example would be on a refinance application. So on a purchase the closing costs need to be shown as separate from the downpayment and need to be paid separately. Outside of the mortgage itself. I hope this helps so just be clear, understand what you need to, to have for the downpayment for closing costs, all the different details of just the expenses involved in your mortgage and your real estate transaction. I hope this helps and we'll talk soon.
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