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Can closing costs be in a loan?

I didn't know that closing costs are so expensive. I budgeted for a 20% downpayment and that's all my money. Now I have these closing costs and I don't know how to pay for them. Can I use my mortgage to pay for the closing costs?

Asked by Andy | Oshkosh, WI| 04-30-2026| 4 views|Buying|Updated 2 hours ago

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Zack HewlettNovice5 Answers
Zack Hewlett

Novella Real Estate · Greenwood Village, CO

Great question! The answer is no. When the closing takes place, the portion of funds you deposit for your earnest money can be used towards your down payment portion of closing costs. One way around the closing costs is to negotiate a Seller Concession in your purchase contract. This is funds you can use to cover your closing costs and more (typically these are spelled out in the contract).
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04-30-2026 (1 hour ago)··
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