NC Buyer Closing Costs: Wilmington Area Guide

Trying to pin down how much you will pay at closing in the Wilmington area? You are not alone. Between lender fees, title charges, and coastal extras, it can feel like a moving target. In this guide, you will see what buyers typically pay, who usually pays what in North Carolina, and the coastal items that can add to your total. Let’s dive in.

What Wilmington buyers typically pay

Most buyers should plan for total closing costs of about 2% to 5% of the purchase price, not counting your down payment. Unique coastal homes, condos with larger association fees, or complex loans can push you to the higher end of that range.

Early in your loan process, your lender must send a Loan Estimate within 3 days of application. Three business days before closing, you will get a Closing Disclosure that finalizes the numbers. Compare the two side by side and ask your lender about any changes.

At closing, you will see documents like the title commitment, deed, and recorded documents from the Register of Deeds. You will typically bring a certified check or wire funds. Always confirm wiring instructions directly with the title company before sending money to avoid fraud.

Common closing cost line items

Loan fees and points

• Origination or lender fees. Often a flat fee or about 0.5% to 1% of the loan amount.
• Discount points. Optional, usually 1 point equals 1% of the loan, to lower your interest rate.
• Credit report. A small fee, usually less than 100 dollars.

These are typically paid by you unless negotiated as a seller concession.

Appraisal and inspections

• Appraisal. Commonly 400 to 800 dollars for a single-family home. Large, unique, or waterfront homes can cost more.
• General home inspection. Often 300 to 600 dollars, with higher fees for larger or older homes.
• Specialty inspections. Termite or WDO, septic, well water, HVAC, mold, or radon. Each can run a few hundred dollars and may be required by your lender if applicable.
• Survey or certified plot plan. Several hundred to over 1,000 dollars, depending on lot size and complexity. Coastal properties and encroachments can increase cost.

These are usually buyer-paid unless your contract assigns them differently.

Title services and title insurance

• Title search and closing services. Charged by the closing attorney or title company for research, escrow, and document prep.
• Lender’s title insurance. Protects the lender and is typically paid by the buyer.
• Owner’s title insurance. Protects your ownership. In North Carolina it is customary for the seller to pay for the owner’s policy, but this is negotiable.

Premiums scale with price and follow company or state rate schedules. Ask for a quote early.

Recording and taxes

• Recording fees. Paid to the county Register of Deeds to record your mortgage. Buyers typically pay for mortgage recording.
• North Carolina real estate excise tax. Calculated at 1 dollar per 500 dollars of price, equal to 0.2% of the purchase price. It is commonly paid by the seller, though the contract can assign it differently.

Prepaids and escrow deposits

• Homeowner’s insurance. Often you pay the first year’s premium at closing.
• Flood insurance. Required by lenders if the property is in a FEMA Special Flood Hazard Area. Premiums vary widely in coastal zones.
• Property taxes. Prorated at closing based on the closing date and what has been paid.
• Escrow or impound accounts. Lenders often collect several months of insurance and taxes up front. The exact amount depends on timing and lender rules.

HOA, condo, and local fees

• HOA transfer or capital contribution. Many Wilmington-area communities and condos charge transfer or capitalization fees that can range from a few hundred to over a thousand dollars.
• Municipal and utility fees. In some new construction or special districts, buyers may pay water or sewer tap fees or other local charges.

Other optional items

• Home warranty. Often 300 to 700 dollars if you choose to purchase it, sometimes offered by sellers as a concession.
• Settlement or closing fee splits. Some closing fees are split by custom. Your contract sets the final allocation.

Who pays what in North Carolina

Customary practices provide a starting point, but your written contract controls the final answer.

• Sellers typically pay the real estate excise tax, owner’s title insurance premium, and broker commissions. Some settlement fees may also be seller-paid by local custom.
• Buyers typically pay lender fees, appraisal, inspections, survey, lender’s title insurance, mortgage recording, escrow deposits, and prepaids.

Everything is negotiable in the North Carolina Offer to Purchase and Contract. Your agent will help you structure the offer to match your goals and loan rules.

Seller concessions by loan type

• Conventional loans. Seller-paid concessions are capped based on down payment. Under 10% down is often capped at 3% of price. Between 10% and 25% is often up to 6%. At 25% or more, caps can be higher, commonly up to 9%.
• FHA loans. Seller concessions are generally capped at 6% of the sale price.
• VA loans. Sellers may pay certain costs, with concessions commonly cited up to 4% for specific items.
• USDA loans. Seller-paid assistance is often limited, commonly up to 6% of price.

Program rules change and what counts toward the cap can differ, so confirm details with your lender and underwriter before you write the offer.

Coastal costs to expect in Wilmington

Flood insurance and elevation certificates

If the home is in a FEMA Special Flood Hazard Area, a federally regulated lender will require flood insurance. Premiums vary based on flood zone, elevation, and claims history. An elevation certificate, prepared by a surveyor or engineer, may be required to set the premium. Costs can range from a few hundred dollars to more than 1,000 dollars based on complexity.

Wind and hurricane documentation

Insurers and lenders may require wind mitigation inspections or proof of coastal construction features such as reinforced roof systems or impact-rated openings. This can influence both your insurance premium and your closing timeline.

Wells, septic, and unique foundations

Outside municipal service areas, you may see private wells and septic systems. Lenders often require inspections or certifications. Elevated or pier-and-beam foundations are common near the coast and can prompt specialized inspections, which add time and cost.

Surveys, shorelines, and erosion

Coastal parcels can have evolving boundaries and riparian rights considerations. Budget time and funds for a new survey if prior work is outdated or if there are encroachments, docks, or waterfront features that need review.

HOA timing and fees

Condominium and coastal HOAs can require estoppel letters, transfer fees, and document requests with specific timelines. Start early so an HOA delay does not push your closing.

How to estimate your closing costs

Use this quick process to get a realistic number before you offer.

1. Request Loan Estimates from at least one lender. Compare origination fees, points, title-related lender fees, and prepaids.
2. Ask your lender and title company for a sample Closing Disclosure. Review it line by line against the Loan Estimate.
3. Get quotes for title premiums and closing fees from local title or closing attorneys. Confirm who pays the owner’s policy on your deal.
4. Check flood status early. If flood insurance is likely, request quotes and ask whether you need an elevation certificate.
5. Price out inspections that fit the property. General, WDO, septic, well, HVAC, mold, radon, survey, and any wind mitigation report.
6. Review HOA documents. Ask about transfer fees, capital contributions, rush charges, and document timelines.
7. Build a cushion. Coastal surprises happen. Setting aside an extra amount for inspections or insurance adjustments can keep your closing on track.

Local resources and next steps

When you are ready to firm up the numbers, contact:

• Your lender for updated Loan Estimates, Closing Disclosures, and escrow deposit rules.
• A local title company or closing attorney for title premium quotes and fee breakdowns.
• New Hanover County Register of Deeds for recording fees and document requirements.
• New Hanover County Tax Office or City of Wilmington for property tax details.
• North Carolina Housing Finance Agency for current first-time buyer and closing-cost assistance programs.
• Licensed home inspectors, septic contractors, surveyors, and insurance agents for quotes tailored to your property.

Ready to run the numbers?

If you want a clear, property-specific estimate and a strategy to keep costs in check, let’s talk. I will help you compare lender quotes, structure seller concessions within your loan rules, and plan for coastal items like flood insurance, surveys, and HOA timelines. Reach out to Gwen Hydzik to get started.

FAQs

How much are buyer closing costs for a Wilmington home?

• A simple rule of thumb is 2% to 5% of the purchase price, not including your down payment. Coastal insurance, HOA fees, and loan type can move you toward the higher end.

Will the seller pay my closing costs in North Carolina?

• Some costs are customarily seller-paid, such as the NC excise tax and often the owner’s title policy, but you can also negotiate seller concessions to cover buyer costs within your loan’s limits.

Do I need flood insurance in New Hanover County?

• If the property is in a FEMA Special Flood Hazard Area and you use a federally regulated lender, flood insurance is required. Premiums vary widely, so request quotes early.

What inspections are common for coastal homes around Wilmington?

• Plan for a general inspection, plus termite or WDO, septic, well water tests, HVAC, and possibly mold or radon. Surveys and elevation certificates are also common near the coast.

How long does closing take and what can delay it?

• Timelines vary, but delays often come from HOA document turnaround, appraisal scheduling, survey issues, underwriting conditions, title defects, or well and septic repairs.

Are there programs to help with closing costs for first-time NC buyers?

• Yes, programs are available through the North Carolina Housing Finance Agency, but offerings change. Ask your lender about current eligibility and how funds can be used.