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No-closing-cost mortgages eliminate all upfront fees for the buyer upon closing. These types of mortgages are beneficial in the short term but likely result in higher interest rates. The closing costs can also be buried into the total mortgage, which means the buyer pays interest on the closing costs over time. Therefore, while no-closing-cost mortgages are helpful in reducing initial capital outlay, there are long-term financial ramifications to consider.
Alabama has the 11th-highest mortgage closing costs in the nation, according to a new report by Bankrate.com. The personal finance website surveyed up to 10 lenders in all 50 states and Washington D.C. in June. Costs include fees charged by lenders, as well as third-party fees for services such as appraisals.labama has the 11th-highest mortgage closing costs in the nation, according to a new report by Bankrate.com. The personal finance website surveyed up to 10 lenders in all 50 states and Washington D.C. in June. Costs include fees charged by lenders, as well as third-party fees for services such as appraisals.