[MrM]

refinance that has no buy down points on it? I applied for a refinance (and locked the rate) at 4%. However, when I received the truth in lending disclosure, it shows an APR of more than 4.5%. That would make sense if there was a buy down on the loan, but there are no points involved in the transaction. The TIL disclosure shows $1285 in origination charges paid to the lender and approximately $3,500 in additional charges that aren't really finance charges ($1,000 title search / insurance, $1,500 escrow deposit + appraisal + $300 in prepaid interest). I've asked the lender for an explanation, and they say that the APR is a computer-generated number that is used to shop and compare the rate to other loans, but I would like to better understand the "why" behind it. Anyone understand this better than I do?