Real Estate Math

A buyer obtains a $275,000 mortgage. The origination fee is 1%, the appraisal fee is $600, the title insurance is $1,800, and other closing costs are $2,400. What are total closing costs?

A$6,550
B$7,550✓ Correct
C$5,550
D$8,550

Explanation

Origination = $275,000 × 1% = $2,750. Total = $2,750 + $600 + $1,800 + $2,400 = $7,550.

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