Many closing costs are used to pay for certain fees that will come due in the future. Two common examples of fees that often require prepayment are Homeowner's Insurance premiums and Property Tax bills.

Sometimes the lender or mortgage broker will pay part or all of your closing costs and in return you will pay a slightly higher rate on your mortgage.

A good mortgage professional can and should tailor your mortgage needs to fit your immediate and your future plans. If you are looking to refinance or buy a home but you only plan on staying in the home for no more than 2 or 3 years, a no cost loan may be in your best interest. If you have limited or no money available to pay closing costs on a purchase then a no closing cost loan or a loan with a seller concession may be appropriate for you and your situation. However, if you plan on staying in a home for a long time and think you may not have any reason to refinance then paying for your closing costs either up front or rolling them into your loan may be your best option. With all of this said, closing costs can vary not only from lender to lender, broker to broker, and banker to banker, they can also vary depending on what is right for your unique situation. Please consult your personal Ohio mortgage consultant to find out what will be best for you and to explore your different options.

All closing costs should be disclosed on the Good Faith Estimate. However, some unscrupulous loan officers will avoid disclosing some of the costs, or will make the costs seem lower than they actually are. They do this to win your business, and then when the fees suddenly increase at closing, they blame it on 'changes in the market' or some other obscure reason. This is called a 'bait and switch'.

Look out for loan officers who may be using these techniques. If a certain estimate seems particularly low, it may be because you're being lied to. Ask the loan officer about it - perhaps they can provide an explanation. Whatever you do, do not decide to work with a loan officer solely on the basis of who has lower fees. You should also take into account whether or not the loan officer listens to your needs and concerns, and addresses them. You need to work with somebody you trust, an somebody who has your best interests at heart.

Closing costs may vary depending on the loan program that you are going with. Some loans may cost more or less depending on what is required to close the loan.