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Know the Numbers

Credit Report

Typically, it costs under $50 to check your credit. With your permission the lender will order a review of your outstanding loans and your repayment history from a third party credit agency.

Application / Processing Fee

This cost, typically a few hundred dollars, is charged to cover the lender’s work to evaluate your ability to repay the loan. Some lenders will credit this back to you upon closing.

What is APR?

The APR, or annual percentage rate, is the sum total of all your borrowing costs expressed as a percentage interest rate charged on the loan balance.

For example: After fees, the original interest rate quote of 5.875% might work out to a 6% APR loan, where the interest costs about $6,000 per year for every $100,000 borrowed, and the principal payments are calculated based on the length of the loan term (for example 15, 20, or 30 years).

Indexes

The interest rates on variable loans readjust periodically based on changes in an index. Typical indexes include the Federal Funds Rate, Treasury Bill.

Points

When mortgage companies are competing by offering lower interest rates, they may charge you a one-time pre-paid interest payment calculated as a percentage of the loan. Called points", this may range from 0.25% to 2% of the loan balance, and is usually paid up front. Points are tax-deductible; consult with your tax advisor.

Appraisal Cost

Lenders hire experienced, often independent appraisers to evaluate the property’s purchase price, condition and size compared to similar recent neighborhood sales. This helps ensure the purchase price is not too high, and gives the lender more confidence in getting repaid in the event they are forced to sell the property if the borrower defaults. The appraisal costs vary depending on the property, type of appraisal, and region.

Miscellaneous Fees

Expect to see various charges incurred in the processing of your loan which might include notary, courier, and county recording fees.

Prepayment Penalties

These vary widely, so be sure you know in advance if your lender will charge a penalty if you refinance or sell, and the certain period during which the penalties apply.

Success Stories

"On December 3, 2021 Hughes Real Estate and Auction Service sold our farm in Torning Township for $10,100 per acre (plus Buyer’s Premium), a near record for Swift County. During the entire process of listing the farm Jesse explained the options and processes in clear and understandable terms. The farm was advertised extensively over a wide area via different media. He had an extensive knowledge of the property, especially productivity and drainage – that was helpful. If you are thinking of selling your property, I recommend Hughes Real Estate and Auction Service without reservation."Jerry Pahl
"We cannot say enough good things about Jesse. He helped us sell our farm land through an online auction process, and went above and beyond answering questions. He explained things in a way we could understand and kept us informed at every step in the process. Without hesitation we would recommend him to anyone!"The Steinke Family
"Hi Sherry, we are very happy to inform you that we both have really enjoyed working with you and your company in the past two years. We are hoping to work with you again in the near future. Thank you so much for all your help and really appreciate everything that you have done from starting to end of this transaction. Please be safe in these tougher times. May God bless you! BTW, Please feel free to reach us if you come across any opportunities/properties."E. Arige
"Hughes Real Estate went above and beyond in helping us get our aunt's property prepped and ready for sale. This included a house in town and farm land. They provided invaluable local expertise and were very professional and friendly. My family would recommend Hughes Real Estate with no reservations."Family of Millie H.
"Our family sold a fairly large parcel of farmland in Stevens County, Minnesota. It was a complicated property with different land characteristics and an existing CRP contract. We were very pleased with Jesse's representation. He had a lot of expertise and guided us through the different dynamics and options for selling the property. We highly recommend him. "Jim J. and Karen H.
"Thank you for all you have done helping us sell our home, Sonia. It was a pleasure working with you! Best of luck in your future, you are an excellent realtor!"Mervin and Carole S.
"Sonia, Thank you so much for all you have done for us while we searched for the perfect home, with you we found it! We will refer you to everyone we know that is looking for a new home!"Jon and Missy R.
"Sonia, Thank you so much for the amazing job you did helping us find a home. You were very patient and listened to what we were looking for !"Mark and Karla H
"I was very satisfied with Sherry’s performance as my Realtor, everything was great on her behalf. Thanks again, Sherry! "Bob M.
"Jesse was our real estate agent when we decided to sell our home. He came to our first appointment well prepared with area statistics on houses for sale, houses similar to ours and helped us easily come up with a selling price. Jesse was able to answer all our questions with accurate information. He listed our house on a Thursday morning and had the first showing two days later. This showing resulted in the sale of our home. Jesse made the whole purchase and closing process very easy for us by directing us through each step in a very timely manner. Jesse is part of a national real estate system (Multiple Listing Service or MLS) that allows his sales to go out on the internet and other real estate agents can set up showing of the property. It is like paying one real estate agent but getting the benefit of many others. Shawn and I highly recommend Jesse."Shawn and Holly Rodahl Benson, MN