National Mortgage Closing Costs Higher

Somewhat surprisingly, the national average for closing costs is going higher.

According to Freddie Mac, the average $200,000 now has $200 in extra closing costs in just one month.

This is measured by discount points and is currently 0.1% higher.  A “discount point” is prepaid mortgage interest; an up-front fee paid by a borrower in exchange for a lower mortgage rate. In most cases, discount points are tax-deductible.

Tax-deductible or not, though, rising costs are rising costs and Freddie Mac really sort of skims over it.  Many websites post the national mortgage rate averages and so does Freddie its weekly press release.  What’s bothersome is that they don’t do the same for required points.

The press fails to mention discount points entirely.

We’ve had no changes in required fees, closing costs or discount points, we’re just covering the national averages.