Question:      I want to know are there really no-cost or no-fee loans?
Answer:      No.

Some lenders do promote what they call “no-cost” loans, but banking regulators are increasingly cracking down on these misrepresentations.

In reality “no-fee” loans may acould actually cost you more over the long term of the loan because the costs of the “no cost loans” are generally rolled into the new loan through higher interest or larger principal.

A common occurrence of a “no-fee” loan is one where the points charged and all fees are included in the loan principal.

This means that you the borrower does not pay these expenses at the close of escrow. Instead they are rolled into the loan and you end up paying for them over the life of the loan, which ends up costing you a lot more.

This type of loan has been called a “no-fee” or “no cost” loan in order to sell it, as the borrower is not charged any fees up front. But the borrower ends up paying a lot more in the long run as they end up paying for these “no fee” costs every year of the mortgage.

Question: What kind of home insurance would you recommend for my Palm Coast home?

Answer Part 1: In this area where there is a possibility of hurricane damage and flooding it is important you have a policy that will cover all the potential damages caused by a hurricance including wind and flooding. Flooding is often not covered in many policies and it is important coverage to have since flooding is one of the major possible impacts of a hurricane.
Answer Part 2: According to the Insurance Information Institute Standard: homeowners policies normally protect against fire, lightning, wind, storms, hail, explosions, riots, aircraft wrecks, vehicle crashes, smoke, vandalism, theft, breaking glass, falling objects, weight of snow or sleet, collapsing buildings, freezing of plumbing fixtures, electrical damage and water damage from plumbing, heating or air conditioning systems.

Such policies are called “all-risk” policies, which cover everything except earthquakes, floods, war and nuclear accidents.

As mentioned above, in the Palm Coast area you also want a policy that covers floods and hurricane damage.

It is currently recommended that you obtain insurance equal to the full replacement value of your home, and many experts recommend an inflation rider, as the home increases in value.

You may also want to get a real replacement value insurance for your personal belongings in order that they are covered beyond the depreciated value.