diff --git a/bin/options.js b/bin/options.js
index 2c9c761310..46cbd33b6c 100644
--- a/bin/options.js
+++ b/bin/options.js
@@ -35,6 +35,11 @@ const options = {
     describe: 'Print compilation progress in percentage',
     group: BASIC_GROUP,
   },
+  hot: {
+    type: 'boolean',
+    describe: 'Enables/disables HMR',
+    group: ADVANCED_GROUP,
+  },
   'hot-only': {
     type: 'boolean',
     describe: 'Do not refresh page if HMR fails',
diff --git a/lib/utils/createConfig.js b/lib/utils/createConfig.js
index 3b573536b6..83e742a181 100644
--- a/lib/utils/createConfig.js
+++ b/lib/utils/createConfig.js
@@ -73,10 +73,11 @@ function createConfig(config, argv, { port }) {
     process.stdin.resume();
   }
 
-  // TODO https://github.com/webpack/webpack-dev-server/issues/616 (v4)
-  // We should prefer CLI arg under config, now we always prefer `hot` from `devServer`
-  if (!options.hot) {
-    options.hot = argv.hot;
+  const hasHot = typeof argv.hot !== 'undefined';
+  const hasHotOnly = typeof argv.hotOnly !== 'undefined';
+
+  if (hasHot || hasHotOnly) {
+    options.hot = hasHotOnly ? 'only' : argv.hot;
   }
 
   // TODO https://github.com/webpack/webpack-dev-server/issues/616 (v4)
diff --git a/test/cli/cli.test.js b/test/cli/cli.test.js
index 16eee7a75b..a44ddf7016 100644
--- a/test/cli/cli.test.js
+++ b/test/cli/cli.test.js
@@ -6,6 +6,36 @@ const execa = require('execa');
 const testBin = require('../helpers/test-bin');
 
 describe('CLI', () => {
+  it('--hot', (done) => {
+    testBin('--hot')
+      .then((output) => {
+        expect(output.exitCode).toEqual(0);
+        expect(output.stderr).toContain('/hot/dev-server');
+        done();
+      })
+      .catch(done);
+  });
+
+  it('--no-hot', (done) => {
+    testBin('--no-hot')
+      .then((output) => {
+        expect(output.exitCode).toEqual(0);
+        expect(output.stderr).not.toContain('/hot/dev-server');
+        done();
+      })
+      .catch(done);
+  });
+
+  it('--hot-only', (done) => {
+    testBin('--hot-only')
+      .then((output) => {
+        expect(output.exitCode).toEqual(0);
+        expect(output.stderr).toContain('/hot/only-dev-server');
+        done();
+      })
+      .catch(done);
+  });
+
   it('--progress', (done) => {
     testBin('--progress')
       .then((output) => {
diff --git a/test/server/utils/__snapshots__/createConfig.test.js.snap b/test/server/utils/__snapshots__/createConfig.test.js.snap
index 97c0416c79..ad9811f066 100644
--- a/test/server/utils/__snapshots__/createConfig.test.js.snap
+++ b/test/server/utils/__snapshots__/createConfig.test.js.snap
@@ -293,7 +293,55 @@ Object {
 }
 `;
 
-exports[`createConfig hot option (in devServer config) 1`] = `
+exports[`createConfig hot only option (in devServer config) 1`] = `
+Object {
+  "hot": "only",
+  "port": 8080,
+  "publicPath": "/",
+  "stats": Object {
+    "cached": false,
+    "cachedAssets": false,
+  },
+}
+`;
+
+exports[`createConfig hot only option 1`] = `
+Object {
+  "hot": "only",
+  "port": 8080,
+  "publicPath": "/",
+  "stats": Object {
+    "cached": false,
+    "cachedAssets": false,
+  },
+}
+`;
+
+exports[`createConfig hot option (false) (in devServer config) 1`] = `
+Object {
+  "hot": false,
+  "port": 8080,
+  "publicPath": "/",
+  "stats": Object {
+    "cached": false,
+    "cachedAssets": false,
+  },
+}
+`;
+
+exports[`createConfig hot option (false) 1`] = `
+Object {
+  "hot": false,
+  "port": 8080,
+  "publicPath": "/",
+  "stats": Object {
+    "cached": false,
+    "cachedAssets": false,
+  },
+}
+`;
+
+exports[`createConfig hot option (true) (in devServer config) 1`] = `
 Object {
   "hot": true,
   "port": 8080,
@@ -305,7 +353,7 @@ Object {
 }
 `;
 
-exports[`createConfig hot option 1`] = `
+exports[`createConfig hot option (true) 1`] = `
 Object {
   "hot": true,
   "port": 8080,
@@ -875,7 +923,7 @@ Object {
   "disableHostCheck": "_disableHostCheck",
   "historyApiFallback": "_historyApiFallback",
   "host": "_foo",
-  "hot": "_hot",
+  "hot": true,
   "https": "_https",
   "open": "_open",
   "openPage": "_openPage",
@@ -901,7 +949,7 @@ Object {
     "disableHostCheck": "_disableHostCheck",
     "historyApiFallback": "_historyApiFallback",
     "host": "_foo",
-    "hot": "_hot",
+    "hot": true,
     "https": "_https",
     "open": "_open",
     "openPage": "_openPage",
diff --git a/test/server/utils/createConfig.test.js b/test/server/utils/createConfig.test.js
index a68cc6c16e..554000bc17 100644
--- a/test/server/utils/createConfig.test.js
+++ b/test/server/utils/createConfig.test.js
@@ -298,7 +298,7 @@ describe('createConfig', () => {
     expect(config).toMatchSnapshot();
   });
 
-  it('hot option', () => {
+  it('hot option (true)', () => {
     const config = createConfig(
       webpackConfig,
       Object.assign({}, argv, { hot: true }),
@@ -308,7 +308,17 @@ describe('createConfig', () => {
     expect(config).toMatchSnapshot();
   });
 
-  it('hot option (in devServer config)', () => {
+  it('hot option (false)', () => {
+    const config = createConfig(
+      webpackConfig,
+      Object.assign({}, argv, { hot: false }),
+      { port: 8080 }
+    );
+
+    expect(config).toMatchSnapshot();
+  });
+
+  it('hot option (true) (in devServer config)', () => {
     const config = createConfig(
       Object.assign({}, webpackConfig, {
         devServer: { hot: true },
@@ -320,6 +330,42 @@ describe('createConfig', () => {
     expect(config).toMatchSnapshot();
   });
 
+  it('hot option (false) (in devServer config)', () => {
+    const config = createConfig(
+      Object.assign({}, webpackConfig, {
+        devServer: { hot: false },
+      }),
+      // eslint-disable-next-line no-undefined
+      Object.assign({}, argv, { hot: undefined }),
+      { port: 8080 }
+    );
+
+    expect(config).toMatchSnapshot();
+  });
+
+  it('hot only option', () => {
+    const config = createConfig(
+      webpackConfig,
+      Object.assign({}, argv, { hotOnly: true }),
+      { port: 8080 }
+    );
+
+    expect(config).toMatchSnapshot();
+  });
+
+  it('hot only option (in devServer config)', () => {
+    const config = createConfig(
+      Object.assign({}, webpackConfig, {
+        devServer: { hot: 'only' },
+      }),
+      // eslint-disable-next-line no-undefined
+      Object.assign({}, argv, { hot: undefined }),
+      { port: 8080 }
+    );
+
+    expect(config).toMatchSnapshot();
+  });
+
   it('clientLogLevel option', () => {
     const config = createConfig(
       webpackConfig,