5. Say: Yes Yes to a No No
If cash is tight, a No No (no points, no closing costs) could be the way to go. Generally, rates will be less attractive compared to paying some closing costs, but if you can reduce your mortgage rate by ¼ or a ½ percentage point without any out of pocket costs, then - go for it.
On a $200,000 mortgage, a ½ percent lower mortgage rate could save you more than $750 in the course of a year.