Charlotte NC Home Buyers Get Assistance for Loan Closing Costs
Are you hoping to buy a Charlotte NC home but not sure if you will have enough money for a down payment and closing costs? In a recent post, I offered some solutions for the problem of not having much money for a down payment. Read that post about no down payment loans here.
Now what about the loan closing costs? Here are some ways to minimize your investment in closing costs if you are a Charlotte NC home buyer.
Problem: Lack of Funds for Closing Costs
Ask the seller for assistance with closing costs. Most loan programs will allow the seller to pay a buyer’s loan closing costs with certain restrictions on the amount. Various loan programs with allowable seller-paid closing costs are listed below.
- FHA 6% of the contract sales price
- VA 4% of the contract sales price
- Conventional with 90% or less loan to value 6% of the contract sales price
- Conventional with 95% loan to value 3% of the contract sales price
Ask your loan officer to modify the loan interest rate for lender-paid closing costs. That’s right. The lender can increase the interest rate of the loan to cover a credit to you for closing costs. At today’s low interest rates, your monthly payment may increase very little to accommodate lender-paid closing costs. Lender-paid costs might be available up to 2.5% of the contract sales price. This is a useful tool to use when the seller doesn’t have enough equity in his home to pay your closing costs.
Want to know more about closing cost assistance in Charlotte NC? Click here to contact me about your eligibility for one of these loans.
Copyright 2011. Carol Fox. Allen Tate Realtors. *Charlotte NC Home Buyers Get Assistance for Loan Closing Costs*
Discover Charlotte North Carolina's Best Small Towns
Carol Fox of Allen Tate Realtors has helped people find the right homes and neighborhoods in Charlotte North Carolina's best small towns for twenty five years.
Call Carol Fox at 704-814-6242
to list your property for sale or to purchase a home in
Matthews NC, Mint Hill NC and the small towns of Union County NC, including Stallings NC, Indian Trail NC, Weddington NC, Waxhaw NC, Lake Park NC, Marvin NC, Wesley Chapel NC and Monroe NC.
Search for homes and learn more about these communities
at www.CarolinaSmallTownLiving.com.
