New study on closing costs

HUD's touting a study that suggests complex loans (with features like yield-spread premiums, discount points and seller contributions to closing costs) carry higher costs, saying it justifies the simplified disclosures proposed under RESPA. 

Study found some interesting variations in price according to education, race, region that suggest "lenders and mortgage brokers make their most favorable offers to borrowers that they consider knowledgeable about competing alternatives."

NAMB is critical of the study (which found mortgage brokers were more expensive than direct lenders, and concluded "no fee" loans can be the best deal) for relying on data that's 7 years old. It looked at 7,500 FHA-backed loans from first half of 2001.