Loan Origination Fee Calculator

Build Section A of the closing disclosure: origination fee (% of loan), discount points (% of loan), and flat lender fees (processing, underwriting, document prep).

Loan amount

Origination fee %

Discount points %

1 point = ~0.25% rate cut

Flat lender fees (processing, underwriting)

Total loan costs (Section A)

$6,725

1.75% of loan

Origination fee

$3,850

Discount points

$1,925

Flat lender fees

$950

What lenders charge

Origination fees: typically 0.5–1.5% of loan. Discount points: optional add-on to lower rate (1 point = ~0.25% rate). Flat lender fees: $400–$1,500 covering underwriting, processing, and document prep. Together these make up Section A of the closing disclosure.

Compare loan estimates from at least 3 lenders. The same property and loan amount can produce $2,000–$5,000 of fee variation across lenders. Origination fees and rates are negotiable on rate-lock day.

How to Use

Enter the loan amount.
Enter the origination fee percentage (typically 0.5–1.5%).
Enter discount points if buying down rate (each 1 point ≈ 0.25% rate cut).
Enter flat lender fees from the loan estimate (underwriting, processing, document prep).
Read total Section A loan costs and percentage of loan.

Frequently Asked Questions

What's a typical origination fee?

0.5–1.5% of loan amount. Bank lenders often charge 0.5–1.0%; brokers may charge more or less depending on the lender's wholesale price. Negotiable, especially when shopping multiple lenders.

Are discount points worth it?

Depends on hold period. Each 1 point ≈ 0.25% rate cut. Break-even is usually 4–6 years. If you'll keep the loan longer, points often pay back. Use the mortgage points calculator to run break-even on your specific deal.

What flat fees are typical?

$400–$1,500 in lender flat fees for processing, underwriting, document prep, and tax service. Some lenders bundle into one fee; others itemize. Compare loan estimates carefully.

Are origination fees the same as closing costs?

Origination fees are a subset — Section A on the closing disclosure. Total closing costs include Section A (loan costs) + Section B (services) + Section E (title, recording, transfer tax) + Section F (prepaids) + Section G (escrow setup).