Could it be possible not to pay for a closing cost when i refinance?

Answer 1

Since some of the costs of refinancing are paid to outside vendors like appraisers, title insurance companies, etc., and not just the lender, the bare answer to your question is no.

Most borrowers include the costs of refinancing in their new loan amount so that they pay nothing out of pocket.

You can elect to pay no loan fee but expect to get a higher interest rate if you choose that option. That is because the investor will pay the lender to deliver a loan at a higher rate so that is how the lender will be paid for their time and expertise. Look at it this way; do you work for free? Neither does your lender. You are paying for a service.

Answer 2

A no closing cost loan is always an option. There are two ways that brokers are compensated for their work. A client can opt for a no closing cost loan, and choose a higher interest rate (whereby the lending institution compensates the brokers) or they can choose a lower interest rate and pay a marginal origination fee to the brokers themselves. Each situation has a benefit that is more or less situated around how long you plan on staying in the property. With a little more information I'd be glad to let you know where the benefit lies in your case. Give me a ring if you have any other questions I can help with.

Daniel Algieri
Loan Specialist
[phone] x1491
[e-mail]

Answer 3

You will have closing costs, but you can wrap these into the loan amount so there is no out-of-pocket cost to you. Bear in mind that you are simply transferring the costs to your loan amount so you will then be paying this cost over the life of the loan.

Answer 4

You can wrap your closing costs into the new mortgage so there's no money due at the closing. You can always negotiate how much the costs will be as well.

Answer 5

YES... absolutely. Your rate will be slightly higher (.125-.250) so your lender can pay all of these costs for you.