Escrow & Title
A Florida buyer pays the lender 'origination points' at closing. These points:
AReduce the purchase price of the home
BAre a fee paid to the lender to cover costs of making the loan and may reduce the interest rate✓ Correct
CPay for the title insurance policy
DCover the buyer's closing attorney fees
Explanation
Origination points (or discount points) are fees paid to the lender at closing. Each point equals 1% of the loan amount. Origination fees cover the cost of making the loan; discount points specifically prepay interest to reduce the interest rate.
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