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How can I refinance with my mortgage co without closing costs?

I'd like to refinance my house for a lower interest rate, I have 686 FICO, income $62.5k/annually, missed 1 payment in 2014. I don't want to change my mortgage company. I would like to refi without closing costs, but the rates are so high. Are there any lenders in AZ that have cheaper rates? by norrendo_1933538 from Tempe, Arizona. Jun 11th 2018 Reply


When lenders offer "no closing costs" they are increasing the interest rate to give enough yield to cover your costs. The real answer is there is no such thing as no closing cost. There are loans where the "lender" pays which is the example u just mentioned. The loan should be called no out of pocket or lender paid closing costs. I hope this helps. We are happy to review the options with you and show you the different rates / fees. ThanksBrad Crew Chief at Autobahn Mortgage LLC602-980-LOAN (5626)

Jun 11th 2018
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William J Acres (William_Acres)
#1 ranked lender in Arizona - 8,414 contributions

There's no such thing as a "no cost" loan. Appraisers, title companies, lenders.. none of them work for free.. Typically, when you see a "no cost" loan being advertised, what they are doing is charging you a higher rate, and with the added profit, they pay the costs for you.. but in essence, it's actually YOU paying.. The ideal scenario is to pay your own costs.. if you don't have the money to do that, then finance them into your loan.. but the lender credit route will raise the rate for the entire loan term.. and it's your most expensive option. as far as changing your mortgage company,, most every lender out there will eventual sell your loan off.. and there's no telling who it will be sold to.. If it's a convenience, every lender out there has electronic payment methods and they are all very easy.. I'm here locally off the Loop 101 & FLR... I'd be happy to get you a quote,, no hassles, no pressure.. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / LendUS, NMLS 1938/ AZMB0121893

Jun 12th 2018
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There really is no such thing as No Closing Costs. The costs are real (such as title, appraisal, etc.). The only way a lender can do this is by moving up your interest rate in order to cover the costs. Or, you can roll them into your new loan, which is what I recommend. AZ has pretty low title costs compared to most states. Long term, it's probably better to roll them into the new loan, rather than taking a slightly higher rate. Take the lower rate. Your existing lender may or may not be able to do this, but shop around and DO NOT allow your credit to be pulled. You can indeed obtain a rate quote with a theoretical credit score. Talk to or email some lenders first and find the right one for your scenario.

Jun 12th 2018
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