Areas We Serve
No matter where in the state you live, our North Carolina mortgage brokers can help you! We have clients all across the state, and we’ve financed everything from tiny homes to luxury estates in the city.
Some of the North Carolina locations we serve include:
- High Point
What Are the Options for a Home Loan in North Carolina?
Residential borrowers have a lot of options when it comes to mortgages in North Carolina. The most popular option is a traditional mortgage, in which the borrower pays a set amount every month. The interest rate is set and the borrower is able to know exactly how much of his or her payments will be going towards the principal and interest on the loan. Traditional mortgages are generally easy to budget around.
There are a host of non-conventional mortgage options available as well. For instance, business owners and self-employed individuals might be interested in loans that use bank statements to verify income rather than tax returns or W-2s. These loans have allowed mortgage lenders in NC to offer financing to individuals who may not qualify for a traditional mortgage despite having enough income to make regular payments.
If you are active duty military or a veteran, ask about VA loans. This service benefit can allow you to purchase a home without a down payment. The VA loan process has a few extra steps, so make sure that you pick a mortgage provider like Griffin Funding, which has a lot of experience in dealing with these loans.
Finally, be sure to ask about our exotic mortgages. Mortgages with variable interest rates and payments that adjust can allow you to pay more towards the principal when you have more cash, but conserve your cash when you have other financial obligations.
What Credit Score Is Needed to Buy a House in North Carolina?
It is possible to find a loan for a wide range of credit scores, but in order to qualify for most mortgages you will need a credit score of 620 or higher. Borrowers with scores that exceed 720 tend to qualify for the best rates, while borrowers who have credit scores below 620 will have a difficult time qualifying for a mortgage. There are loans available to people who have subprime credit scores, but be aware that the interest rates on these loans tend to be high.
How Much Money Do You Need to Buy a House in North Carolina?
The amount of money you need to bring to the table when you purchase a home will depend on the type of mortgage you use and the price of the home. In some cases, borrowers who use a VA loan and are able to wrap the closing costs of the home into the mortgage may only need a minimal amount of money to purchase their home. In other cases, a borrower using a bank statement loan may need to bring a 10%-20% down payment and cover all of the closing costs.
In general, first time borrowers who have a traditional mortgage can expect to put down 5-20% of the purchase price of a home upfront. In most cases, there will also be closing costs that vary depending on the price of the home you’re purchasing.
Our North Carolina Mortgage Programs
DSCR Loans in North Carolina: DSCR loans allow real estate investors and mortgage brokers to qualify for financing based on their debt service coverage ratio (DSCR) rather than through traditional means. By calculating the DSCR, lenders can measure a potential borrower’s operating income in relation to their mortgage debt, and thus determine whether they will be able to repay a loan.
Asset-Based Loans in North Carolina: When you take out an asset-based loan, you’re borrowing against the value of your assets. The more valuable your assets are, the more financing you can receive. This enables borrowers to tap into the equity of their assets and access financing.
Bank Statement Loans in North Carolina: These loans allow you to qualify for a mortgage with your bank statements instead of the income verification methods required for traditional home loans. This option is typically advantageous for self-employed individuals whose W2’s do not accurately reflect their income.
FHA Loans for First-Time Homebuyers: An FHA loan is recommended for buyers who do not have funds available for a large down payment. Since these loans are insured by the FHA (Federal Housing Administration), you can buy a house with as little as 3.5% down.
VA Home Loans: Qualifying active-duty service members, veterans, and surviving spouses can take advantage of the home loan benefits afforded by the Department of Veteran Affairs. Because these loans are insured by the VA, you can secure much lower rates and even forgo a down payment.
USDA Home Loans: Depending on where you want to buy a home in California, you may be able to apply for a USDA mortgage. These loans are reserved for homes in qualifying rural areas.
Speak with one of our loan officers today to determine which of our California home loans best suits your needs.
What Is the Current Mortgage Interest Rate in North Carolina?
Current mortgage rates will depend on your credit history, your loan terms, and the amount that you wish to borrow. In general, it is possible to save money on interest by agreeing to a higher down payment, paying points down on the mortgage, or by having a higher credit score.
Mortgage rates are set by lenders after looking at several different interest rate indexes from all over the world. Keep in mind that the interest rates that North Carolina mortgage brokers and lenders offer can change on a daily basis.
How Much Do You Need for a Down Payment for a House in North Carolina?
A typical down payment ranges from 5-20% of the total purchase price of the house. There are multiple programs, however, that allow borrowers to receive grants for a down payment or wrap the down payment into the mortgage. Programs such as VA loans allow borrowers to buy houses without making a down payment at all. FHA loans can require a borrower to put down as little as 3.5% of the cost of the home.
Be sure to ask the agents at Griffin Funding about your options for a mortgage with little or no down payment. We have years of experience with these programs, and we’re always happy to discuss which options may be right for you.
Is It a Good Time to Buy a House in North Carolina?
Determining when to buy a home generally depends more on your particular circumstances rather than the housing market in general. Even when the market is competitive, it is possible to find good deals on property. Also, a high sales market tends to go along with a high rental market. That means that a potential borrower may determine that purchasing a house and building equity is a better long-term decision than paying high rental rates.
Apply for Your North Carolina Home Loan
If you’re thinking about purchasing a home in the next few months or want to learn more about the mortgage programs we offer, give Griffin Funding a call. Or, if you’re ready to find out if you qualify for a mortgage, apply now on our website. In addition to traditional North Carolina mortgages like FHA loans, we offer several Non-QM mortgages to accommodate all types of financial situations.