No Cost Loans Explained

Although we’ve been doing No Cost Loans for more then 15 years, there are still many people unfamiliar with how they work. Below, we answer some frequently asked questions.

What’s the difference between standard loans & No Cost Loans?

For most people, purchasing a home requires financing through a mortgage lender. Along with a down payment, you will be required to cover certain closing fees, such as title insurance fees, appraisal fees, attorney fees, application fees, and so on. These fees can quickly add up to thousands of extra dollars that you might not have anticipated.

How do No Cost Loans save me money at closing?

With No Cost Loans at American Mortgage Capital, there are no surprises, no stressful fees, and no extra drain on your savings that could take you months or years to recoup. In fact, you’ll pay no points, no origination fees or any other costs. Guaranteed!

How? No Cost Loans have a slightly higher interest rate than standard loans. This allows the lender to make more money over time. They in turn agree to cover your closing costs and pay all of our fees in turn. We make money, they make money, and you save money that you can use immediately for moving, furniture, debt payoffs — whatever you want!

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Are the savings from No Cost Loans right for me?

Over the years we’ve performed many analyses and calculations for thousands of clients from Northern California to Southern California, and the overwhelming answer to this question is YES! While we don’t know many people who actually ever pay off a 30-year mortgage.  Less than 5% of homeowner's ever pay off a 30 year loan in 30 years.

Most people move or refinance to access equity with a cash out loan, every three to six years, so for them, No Cost Loans represent a significant savings and a smart financial decision.

Ready to start saving money?

Begin your No Cost application today!

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To learn more about the savings you could enjoy from one of our No Cost Loans, call us today toll free at 800-610-0000!

American Mortgage Capital proudly serves clients in North, Central and Southern California.