FL mortgage brokers, sign up a client for your services with this customizable Florida Mortgage Brokerage Fee Agreement.
- The broker will be the borrower's exclusive agent for making the mortgage loan application.
- The broker will obtain a credit report and property appraisal and will prepare the loan application.
- In addition to the broker fee paid by the borrower, the broker may receive additional compensation from the funding lender.
- The borrower also agrees to pay a non-refundable application fee, which will be credited against the broker's fees at closing.
- The agreement contains the required Florida mortgage broker disclosures.
- The broker stipulates that there is no guarantee or promise that the borrower will obtain a mortgage loan as a result of the broker's efforts.
This Florida Mortgage Brokerage Fee Agreement is provided in MS Word format, and is fully editable to meet your specific circumstances.
MORTGAGE BROKER ENGAGEMENT AGREEMENTMORTGAGE BROKERAGE FEE AGREEMENT THIS AGREEMENT made effective as of the _____ day of ______________, _______. BETWEEN: [NAME OF BROKER] [address of broker] Florida License #___________ (“BROKER”) - and - [NAME OF CLIENTBORROWER] [address of clientBorrower] (“CLIENTBORROWER”) Formatted: Font color: Auto WHEREAS CLIENTBORROWER wishes to retain BROKER’s services to obtain a mortgage loan, and BROKER wishes to provide those services to CLIENTBORROWER, on the terms and conditions set forth in this Agreement; NOW THEREFORE THIS AGREEMENT WITNESSES that in consideration of the mutual covenants and agreements contained in this Agreement, the parties hereby agree as follows:the parties hereby agree as follows: 1. Details of Mortgage Loan Loan to be secured by real property Street address of property: ____________________ located at: City: ________________ State: _______ Legal description of property: Principal amount of loan: Minimum of $_____________________ Maximum of $_____________________ Interest rate: Repayment terms: Other terms: [If none, state “None”.] Personal guarantees to be given by: [If none, state “None”.] -2- 2. Exclusive Right to Represent Formatted: Bullets and Numbering BORROWER hereby retains BROKER as its exclusive agent for the purpose of procuring a mortgage loan Formatted: Font color: Auto approval from a bona fide lender for the purchase or refinance of the property set out in Section 1 hereof. BORROWER hereby represents and agrees that it has not and will not apply to other lenders or through other brokers for a mortgage loan with respect to this transaction during the term of this Agreement. If application has already been made, BORROWER agrees to withdraw such application immediately upon written credit approval by BROKER, and shall provide BROKER with evidence that such application has been withdrawn. 2. Term of Agreement Formatted: Bullets and Numbering 3. The term of this Agreement shall be for a period of thirty (30) days from the date of execution hereofThis Agreement shall become effective as of __________ [insert date] and shall continue in effect until the transaction closes, anticipated to be __________ [insert date], unless otherwise cancelled in accordance with its terms.. During the term, BROKER shall act as the exclusive broker for CLIENT in obtaining a mortgage loan in accordance with the details set out in Section 1. Formatted: Font color: Auto 3.4. Scope of Services to be Performed Formatted: Bullets and Numbering BROKER will provide BORROWER with the following services: Formatted: Bullets and Numbering (a) discuss various loan products available to BORROWER, and counsel BORROWER as to the amount(s) and type(s) of loans BORROWER qualifies for; (b) identify any problems that may impair BORROWER’s eligibility for the mortgage loan; (c) use all of its knowledge, experience and expertise to assist BORROWER in selecting the type of financing most suitable to BORROWER’s financial circumstances; (d) assist BORROWER in completing the loan application requirements; (e) order credit reports, appraisals and such other information as is customarily required to qualify BORROWER for the desired loan; (f) package and submit the loan application to one or more lenders available to BROKER; (g) coordinate the acceptance of any loan approval or commitment by a lender; Formatted: Space Before: 10 pt (h) serve as liaison between BORROWER and lender for subsequent correspondence and communication. Formatted: Indent: Left: 0", Space Before: (a) CLIENT hereby retains BROKER to submit a mortgage loan application to participating lenders 10 pt, Tab stops: 0.5", List tab + Not at 1.25" with whom BROKER contracts from time to time, in accordance with the terms of this Agreement and the Mortgage Broker Fee Disclosure. Formatted: Font color: Auto 4.Mortgage Brokerage Fee Formatted: Bullets and Numbering 5. Broker Fee(s) BORROWER agrees to pay a mortgage broker fee to BROKER in the amount of $____________. In addition to the mortgage broker fee, BROKER may also receive compensation from the funding lender, -3- ranging from ____% to ____% of the loan amount based on the interest rate and loan terms selected and accepted by BORROWER for obtaining the loan commitment. The dollar amount expressed herein represents the total of all mortgage broker and/or loan origination fee points, processing fee, non- refundable application fee or any other fee being charged directly by Licensee, but does not include the additional compensation paid by the lender that BROKER may also receive in this loan transaction. The fees comprising this total dollar amount identified above are also itemized on the Good Faith Estimate of all closing fees estimated in this transaction and separately being issued to BORROWER by BROKER. Both of the fees separately disclosed above are deemed to have been earned by BROKER on the date BROKER secures a written commitment to fund BORROWER’s loan. However, these fees may be deferred and paid to BROKER, at BROKER’s discretion, at the time the loan is funded. However, if BROKER obtains a written loan commitment from the funding lender for the terms identified above and stands ready to close this loan transaction, and BORROWER does not close the loan transaction, BORROWER may be subject to paying all of the fees, notwithstanding that the loan transaction has not closed. 6. Non-Refundable Application FeeBROKER’s mortgage brokerage fee will be solely based on a percentage of the mortgage loan obtained. The fee may be paid in the form of a commission from the lender. It is agreed that BROKER’s fee is for the purpose of compensating BROKER for the value of its services and the costs and expenses incurred on CLIENT’s behalf. The value of such services, costs and expenses include, but are not limited to, actual time spent on CLIENT’s behalf, actual direct costs and expenses, overhead and administrative costs and expenses including insurance coverage for risks associated with BROKER’s services. CLIENT agrees that the value of such services, costs and expenses have a relationship to the amount of the loan that CLIENT is applying for, and that basing the mortgage brokerage fee on a percentage of the loan obtained constitutes a fair and reasonable estimate of the services, costs and expenses BROKER will BORROWER agrees to pay a non-refundable application fee of $________. [delete this sentence if not applicable] If the application fee is being charged, it will be credited at closing against fees owed BROKER as a “paid outside of closing” itemization on the settlement statement and acknowledged by BROKER as received prior to the closing of the transaction. 7. Advance Deposits for Third Party Costs Formatted: Bullets and Numbering BORROWER acknowledges that if an advance deposit is required for the appraisal, credit report or other costs, said deposit is to be retained in BROKER’s Trust Account. BORROWER hereby authorizes BROKER to pay such fees out of the deposit. If the actual costs of these services are less than the deposit, the excess will be refunded to BORROWER after close of escrow. _____ Check here if a deposit is required. The deposit for appraisal and credit report is $_________. _____ Check here if appraiser is to be paid directly. The estimated actual cost is $_____________. Formatted: Indent: Left: 0", Hanging: 0.5" provide and/or incur hereunder. Formatted: Font color: Auto 5.Obligations of CLIENTBORROWER Formatted: Bullets and Numbering 8. At all times during the term of this Agreement, CLIENTBORROWER agrees to: -4- (a) be truthful with BROKER and keep BROKER informed of any developments with respect to the property being used to secure the loan; Formatted: Font color: Auto (b) to pay the commission set out in Section 4broker fee(s) set out in Section 5; Formatted: Font color: Auto (c) keep the property insured for the full replacement value thereof; (d) keep the property in good repair and condition; (e) inform BROKER immediately of any change in tenants (if the property is rented); Formatted: Bullets and Numbering (f) execute all loan documents when made available; (f)(g) provide all reasonable assistance to BROKER, including providing BROKER with copies of: (i) leases or rental agreements with respect to the property; (ii) financial statements, tax returns, pay stubs, and information of CLIENTBORROWER and any guarantors of the mortgage loan; (iii) any other documentation reasonably required to assist BROKER in providing the services hereunder. Formatted: Font color: Auto 6.9. Dis
Pages to are hidden for
"Florida Mortgage Brokerage Fee Agreement"Please download to view full document