Zero-cost options for closing a mortgage or refinancing in North Carolina

When you’re buying a home, one of the key considerations is the price of the property. However, it’s important to keep in mind that the purchase price is not the only cost you’ll incur. There are also lender fees, government recording fees, and the cost of setting up an escrow account for your property taxes and homeowners insurance. And let’s not forget the home appraisal! While all of these expenses can add up, they’re just a part of the home-buying process. These are closing costs. Depending on the home’s sales price, these fees can make thousands of dollars. As a result, they can have a significant impact on your home-buying decision.

Here at LBC Mortgage, we’re proud to partner with an extensive network of lenders who offer no-closing-cost mortgages in North Carolina. With this option, you can avoid out-of-pocket expenses and get into your new home more quickly. In addition, no-closing-cost mortgages often have favorable terms and interest rates. As a result, they can save you money over the life of your loan.

What is a No Closing Cost Mortgage in North Carolina?

A no-closing-cost mortgage is a home loan with no upfront closing costs. In exchange for paying your closing costs, a lender charges a higher interest rate or finances the fees into your loan amount.

This mortgage can help you save money, and might seem like a great deal at first glance. However, it’s important to understand that this type of loan doesn’t mean you won’t have to pay closing costs; it just means the timing of when you pay them is different.

Advantages of a No Closing Cost Mortgage in North Carolina

A no-closing-cost mortgage can be a great option for homebuyers with a tight budget. Just take a look at its top pros:

1. There are no out-of-pocket expenses
Since the lender covers the closing costs, the homebuyer does not need to worry about coming up with the money for fees and taxes.

2. The loan amount is not reduced
Some lenders will reduce the loan amount in order to offset the closing costs that they are paying. With a no-closing-cost mortgage, the loan amount remains unchanged.

3. It is flexible
Most no-closing-cost mortgages have the same terms and conditions as traditional mortgages. This means that the home buyer can choose their loan term and type (fixed-rate or adjustable-rate).

4. It is widely available
No closing cost mortgages are offered by many different lenders, so homebuyers have plenty of options to choose from.

Disadvantages of A No Closing Cost Mortgage In North Carolina

A no-closing-cost mortgage may seem like a fabulous deal – who doesn’t love the sound of “free money”? But upon closer examination, this type of mortgage has some potential disadvantages.

  • Closing costs don’t actually disappear when you get a no-closing-cost mortgage – those fees are simply collected in the future. This means that you may end up paying more interest over the life of the loan.
  • No-closing-cost mortgages often have higher interest rates than traditional mortgages, so you could end up paying more in the long run even if you do avoid those upfront fees.

Before signing on the dotted line, be sure to do your homework and understand all the potential drawbacks of a no-closing-cost mortgage.

Get Started with a No-Closing-Cost Mortgage in North Carolina

There’s no doubt – buying a home is a costly undertaking. In addition to the purchase price, there are a variety of fees and costs that must be paid at closing. These can include everything from lender fees to appraisals. Fortunately, there is a way to reduce the costs of buying a home by working with a company like LBC Mortgage that specializes in no-closing-cost mortgages in North Carolina.

LBC Mortgage is a mortgage lender with over 20 years of experience in the industry. We have a team of highly qualified and experienced mortgage professionals dedicated to providing our clients with the best possible loan products and services. We offer a wide range of loan products, including no-closing-cost mortgages, no-income-verification mortgage loans, and others. Our team is committed to providing our clients with the most competitive interest rates and fees with a variety of repayment options.

If you’re interested in pursuing a no-closing-cost mortgage in North Carolina, our North Carolina mortgage broker can help you find a lender who meets your needs. Contact us today to learn more.