Closing Costs | NC FHA Expert

First Time Home Buyer Raleigh NC FAQs

We work with a TON of First Time Home Buyer’s, and we often find that they need the same basic information to avoid costly mistakes:

- I’m paying $1250 a month in Rent, can I keep my house payments at that same dollar amount? Great News! When you buy a house, you can get a raise! (for more info click here).

- Can I buy a house if I’ve had some credit Boo-Boos? Okay this is tricky – but the answer is YES! It’s just a matter of how long it will take to get your scores up to 620 (OR 580 if you qualify for NC Housing Finance Agency Money!). We have a TON of information on Credit Scores, and how to get them higher! Click here! [Read more...]

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What Exactly Are Closing Cost?

If you are considering the purchase of a home, you know that there could be

Trying to Have Money Left Over After Closing?

a downpayment requirement (unless you are a Veteran, or you are purchasing in a rural area that qualifies for USDA Home Loan Mortgages)… and you might be aware that there will be “Closing Costs.” Your REALTOR might have mentioned that you are going to ask the Seller to pay some or all of those costs… but WHAT ARE THEY?

The Federal Reserve Board refers to them as “Settlement Fees.” They are, in fact the fees you pay to the various agencies and service providers who work to get the title of the home transferred into your name.

So, obviously there’s a credit report, and you pay for that. There’s an appraisal on the property, and a fee of @$375 for that (today). For a comprehensive list of the types of fees, click here.

IN GENERAL (this is just MY rule of thumb)… You will need to budget 3% of your home’s value in closing costs. You might have less – but you will generally have 6 months of taxes in escrow, and you have to pay your homeowner’s insurance a year in advance.

You might not need that much, but if you are a first time homebuyer counting pennies – I would rather come up with a few extra dollars at the end!

If you want to get Pre-Qualified for a mortgage in NC, call Steve and Eleanor Thorne, Professional Mortgage Planners! 919-649-5058