Financing HUD home.. HELP!

[Jo Ann]

I located a 2002 Southern Energy 28x76 4 bedrooms 3 bath in excellent shape on 2.5 acres..I obtained a preapproval on financing for the property, selling at 47k.. Interest is 8.75 %, 103 percent loan...Credit Scores are good.. I am a bit confused about the HUD process and the banker really doesn't know much.. HUD will pay closing costs if it is included in the sealed bid, correct?

Loan would be paying a 1% origination fee $470, appraisal $300, credit reports 29.00, tax related service fee 90.00, app fee 75.00, flood certificaton fee 11.00, courier 35.00, processing 150.00, underwriting fee 200.00, document prep 190.00, title insurance 175.00, guarantee fee 1.00, recording 65.00, tax certificate 30.00, survey 500.00, pest inspection 90.00, septic survey 150.00

Does all of this sound reasonable? Will HUD pay these closing costs? I was told I will need to provide proof of 1years hazard insurance at closing..

PLEASE HELP!!! I'm new to it all..

[Andrew Johnson]

Angela-
I am a mortgage broker in West Michigan, and believe that your closing costs are very reasonable. In my experience, HUD will not absorb any of these costs.

Hope this helped.

Andy