Does Pennymac charge junk fees?

16% of Closing Disclosures we've analyzed for Pennymac included at least one fee flagged as potentially excessive. "Junk fees" are charges that are inflated beyond what comparable lenders charge or that provide little discernible value to the borrower. Upload your Closing Disclosure for a line-by-line analysis of your specific loan. This is informational only and not financial or legal advice.

How do Pennymac's fees compare to other lenders?

Pennymac currently holds a grade of A on Fair Closing Check, placing them well below the national average — one of the most competitive lenders in our database. Their median closing costs of $11,023 are about 33% below the $16,418 national peer median. Grades are based on real homebuyer-submitted Closing Disclosures and scale from A (well below average) to F (significantly above average). This is informational only; individual loans vary by state, loan type, and borrower circumstances.

Can I negotiate closing costs with Pennymac?

Yes — closing costs are almost always negotiable to some degree. Lender-controlled fees like origination, processing, and underwriting charges can often be reduced or waived, especially if you have a strong credit profile or are comparing offers from multiple lenders. Third-party fees such as title insurance and settlement services can sometimes be shopped around for better rates — you are generally entitled to choose your own providers. Fair Closing Check analyzes your specific Closing Disclosure and identifies which fees to challenge and how much room there is to negotiate. This is informational only and not legal or financial advice.

Fair Closing Check

Pennymac

Name: Fair Closing Check — Closing Disclosure Audit
Brand: Fair Closing Check
Price: 29.00 USD
Availability: InStock

Mortgage Company · California · NMLS #35953

280 verified reports

Avg Closing Costs

$11,023

median across reports

vs. National Average

33%

below national avg

Avg Origination Charge

$6,840

Section A lender fee

Reports with Junk Fees

16%

of submitted reports

Fee Breakdown

Filter by state:

Fee Category	This Lender (avg)	National Avg	Verdict
Origination Fee	$6,840	$7,829	🟢 Below Avg
Title Insurance	$2,758	$3,110	🟢 Below Avg
Underwriting Fee	$1,012	$1,459	🟢 Below Avg
Appraisal	$744	$1,065	🟢 Below Avg
Settlement/Closing Fee	$681	$973	🟢 Below Avg
Processing Fee	$541	$777	🟢 Below Avg
Rate Lock Fee	$347	$347	🟡 Average
Title Search	$273	$388	🟢 Below Avg
Recording Fee	$237	$340	🟢 Below Avg
Document Preparation	$147	$164	🟢 Below Avg
Tax Service Fee	$89	$126	🟢 Below Avg
Wire Transfer Fee	$48	$68	🟢 Below Avg
Credit Report	$47	$68	🟢 Below Avg
Courier/Delivery	$41	$58	🟢 Below Avg
Flood Certification	$16	$23	🟢 Below Avg

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Frequently Asked Questions

Based on 280 closing cost reports

Based on 280 homebuyer-submitted Closing Disclosures, Pennymac's median total closing costs are $11,023. This is about 33% below the $16,418 national peer median for comparable lenders. Actual costs vary by loan type, loan amount, property state, and individual borrower profile. This data is informational only and not financial advice.

Related Guides

Are Closing Costs Negotiable?

Which fees you can push back on and how to do it.

What Are Junk Fees on a Mortgage?

Spot the charges that pad lender profits.

How to Read Your Closing Disclosure

Page-by-page walkthrough of the 5-page form.

Average Closing Costs by State

Benchmark your costs against the state average.

Closing Costs in California

State-specific benchmarks for California.

Compare Pennymac with another lender

See how closing costs compare side-by-side