Skip to main content
An official website of the United States government
(855) 411-2372
Submit a Complaint

Is there such a thing as a no-cost or no-closing loan or refinancing?

Yes, some lenders or mortgage brokers may offer you a loan that is advertised as having no lender fees or no closing costs. 

There are two ways lenders can do this. One way is by charging you a higher interest rate to cover the cost of making the loan. The other way is by adding the closing costs to your loan amount. Both methods involve no cash to close the loan but result in a higher monthly payment.

Take the next step

Buying a House

We've built tools to help you understand the mortgage process and compare options.

Visit our "Buying a House" guide

Don't see what you're looking for?

Browse related questions

Was this answer helpful to you?

Please do not share any personally identifiable information (PII), including, but not limited to: your name, address, phone number, email address, Social Security number, account information, or any other information of a sensitive nature.