According to Bankrate, North Carolina ranks 6th highest in terms of closing costs when compared to other closing costs throughout the United States. You can expect to pay about $1,887 in bank origination fees; $714 in third-party fees, appraisals, and title insurance; for $2,602 in approximate closing costs.
You may see fees by the Lender like this:
Origination points (not discount) – $857 Application – $343 Doc prep – $68 Mortgage Broker, originator or lender – $1,061 Processing – $495 Tax Service – $72 Underwriting – $200 Wire Transfer – $25
Here is a breakdown of the *average 3rd Party fees you may see at your closing:
Appraisal Fee – $419 Credit Report – $17 Flood Certification Fee – $9 Attorney, closing or settlement – $637 Employment verification – $15 Inspections (pest) – $125 Postage/Currier – $55 Survey – $545
HOWEVER, actual closing costs do vary lender to lender and program to program. When you apply for your loan, your lender will give you a truth in lending statement. This will give you a better idea of your actual closing costs. Knowing the approximate closing costs will give you a chance to line up some money for closing costs and down payment before you need it.
Need a little help with closing costs and down payments?
According to the North Carolina Housing Finance Authority, here are some great ideas of where to find money for your down payment and closing costs:
- N.C. Home Advantage Mortgage™ offers competitive interest rates along with down payment assistance up to 3% of the mortgage loan amount – fully forgiven after 15 years – for first-time and move-up buyers.
- Mortgage Credit Certificate (MCC) enables first-time buyers to save up to $2,000 a year on their federal taxes.
Both are offered statewide through participating lenders.
N.C. Home Advantage Mortgage™
Available with 30-year, fixed rate FHA, VA, USDA and conventional mortgages, the N.C. Home Advantage Mortgage™ is a perfect match for buyers looking for safe, affordable financing. The mortgages offer competitive interest rates and can be applied for through participating lenders, which operate nearly 700 branch offices across the state.
You may also qualify for an interest free, deferred, forgivable 2nd mortgage up to 3% of the 1st mortgage loan amount to go towards your down payment. Repayment is only required if you sell, refinance or transfer your home if you do so within 15 years of ownership. After 15 years, the loan is totally forgiven!
You may be eligible for an N.C. Home Advantage Mortgage™ if:
- you are buying a new or existing home
- you are a first-time or move-up buyer
- you buy a home in North Carolina and occupy it within 60 days of closing
- your annual income does not exceed $85,000
- you are applying for a FHA, USDA, VA or conventional loan through a Participating Lender and meet the sales price limits of the loan type
- you are a legal resident of the United States, and
- your credit score is 640 or higher (660 score for manufactured homes).
What Properties Are Eligible?
- New and previously owned single family homes
- Townhouses
- Condominiums*
- Duplexes*
- Manufactured Homes (only new, never occupied, doublewide or greater manufactured homes on permanent foundations)*
*These property types are only available for FHA, VA and USDA loans, not conventional loans. (above information on programs is from NCHA.com for informational purposes only.)
There are even more options available!! Give me a call to find out more!
Only participating lenders can offer these programs and loans. Contact me today for a list of participating lenders – not all lenders participate.
Give me a call, and together we can find what you’re looking for and get to closing day easier than you thought!
*according to Bankrate
