How can I refinance my mortgage without putting money down for closing?

Question by Mark B: How can I refinance my mortgage without putting money down for closing?
I already have a 30 year fixed (6.38%) but would like to take advantage of the lower rates now. My mortgage is through SunTrust and (unfortunately) I have never been late with payments and am not in any financial distress.

Is this possible without bringing any money to the table for closing?

Best answer:

Answer by chatsplas
Sometimes.
Talk to your lender.
IF you have equity in your property, the costs can be rolled into the loan. Of course this increases the principal of your loan, not a great idea.

Also figure out how long you have to KEEP this home and this loan before you break even on this cost, let alone before you come out ahead.

If it’s NOT a full point lower, it’s generally NOT worth doing, some think it should be 2 full points lower to make refi worthwhile.

Know better? Leave your own answer in the comments!