Lenders have some wiggle room when they calculate APR for you. They may or may not include some of the costs you’ll pay. For example, the credit report fee, appraisal fees, and inspection fees may not be included in your APR quote. Since different lenders can charge different credit report fees, the APR comparison becomes less valuable.
An honest lender will include more fees that accurately reflect your circumstances, which makes their APR appear higher.
- See Manage Your Closing Costs for information on these fees
