Fannie DUS and Freddie Optigo lenders charge application fees that cover third-party reports plus an internal underwriting deposit , typically $20,000 to 50,000 depending on loan size and complexity. The components, refund rules, and credit at closing are documented in the lender's standard application package.
How does it interact with rate-lock fees?
Many agency loans carry a separate good-faith rate-lock deposit (1 to 2 percent of loan amount) that is distinct from the application fee. The application deposit funds reports; the rate-lock deposit secures the locked rate. Both are credited at close; failure to close per rate-lock terms forfeits the lock deposit.
What should sponsors verify?
Whether the lender's processing fee is non-refundable or partially refundable on lender denial. Whether ordered third-party reports are portable to another lender if the deal does not progress. The maximum legal-fee component, which is one of the few negotiable line items in agency processing.
Sources
- Delegated Underwriting and Servicing (DUS) program disclosures · Fannie Mae · current
- Optigo lending program disclosures · Freddie Mac Multifamily · current