So after looking to see how much the real monthly payment will be, how much will the loan cost other than the interest rate, over the life of the lending agreement? The real estate section of the paper that comes out every Sunday will probably have a page just devoted to the cost of securing a home mortgage loan. That's right; a person has to pay big money for the privilege of borrowing money! The ads will mention how much down the borrower will have to put on the lending agreement as well as the current percentage rate and the points the lending agreement will cost. Each point is equal to one percent of the loan, so three points on a hundred thousand dollar lending agreement will be three thousand dollars. That money will be due at the convenience of the lender, often at closing. Depending on the home mortgage loan agreement, these points may be rolled into the mortgage of the house.