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Articles Tagged With: FHA Refinance Options

FHA loans

How Do FHA Refinance Loan Requirements Work?

How do FHA refinance loan requirements work? There are myths and misconceptions about FHA refinance loans; knowing how they work can help you decide if an FHA refinance loan is right for you. FHA Loans Are Available From Participating Lenders You will need to find a lender that participates in the FHA loan program to get an FHA refinance loan. You do not have to use your original lender to refinance into an FHA mortgage. More on that issue below. FHA Refinance Loan Requirements For Non-FHA Loans Yes, you can refinance a non-FHA home loan into an FHA mortgage. Refinancing non-FHA loans can be accomplished with FHA cash-out loans or no cash-out loans. You do not have to use your original lender to refinance from a non-FHA mortgage to FHA; | more...

 
FHA home loan advice

Can You Buy Land With An FHA Loan?

There are several reasons why a house hunter looking for a home to purchase with a VA mortgage might want to buy a piece of land. In times when the housing market is favorably inclined towards new construction loans, some buyers might want a government insured loan for a proposed construction or new construction purchase; others might want to buy a piece of land for a manufactured home or mobile home.

 
FHA Home Loan Rules

Refinancing a Conventional Loan To An FHA Mortgage

Some borrowers want to know: is it possible to refinance out of a conventional mortgage using an FHA refinance loan? It’s a smart question to ask, especially if you are interested in moving out of an adjustable-rate mortgage and into the predictability of a fixed-rate loan. FHA Refinance Loan Options FHA loan rules do permit you to refinance a conventional mortgage using an FHA cash-out refinance loan. But that’s not your only option. The FHA loan handbook, HUD 4000.1, says your options for FHA refinancing include non-FHA to FHA transactions. What kinds of refinance loan options are available? In general: Cash-out refinances to help you pull equity out of your home; No cash-out refinances for both FHA and non-FHA-insured Mortgages. These loan options include Rate and Term refinance, and FHA | more...

 
FHA Loan Rules

FHA Refinance Loans Versus Loan Forbearance

If you have an FHA mortgage and get into financial difficulty that makes it hard to make your current home loan payments, you might be wondering how to prevent the loan from going into default or foreclosure.  Should you seek a loan forbearance in such cases, or try to get an FHA refinance loan instead? In some instances, forbearance is the right course of action but in others? A refinance loan may be the right choice. Loan forbearance is sometimes necessary to avoid loan default and eventual foreclosure. The Consumer Financial Protection Bureau defines loan forbearances as an arrangement where your lender, “temporarily to pay your mortgage at a lower rate or temporarily to stop paying your mortgage.”  This may be needed in cases where a homeowner has had a | more...

 
FHA Loans

Reasons To Refinance With An FHA Mortgage In 2022

There are many reasons to consider refinancing a home loan with an FHA mortgage. Some aren’t as attractive in times when interest rates are moving higher, and others may require a refinance no matter what the rates are doing.  Recovering from financial or natural disasters can bring a homeowner back to the lender to discuss options for saving a home through refinancing as one possible option. In the spring of 2022 when inflation and other issues contributed to rising interest rates, cash-out refinancing may not be on the table in the minds of those worried about a continued rise in rates.  But some homeowners affected by the pandemic who are struggling to make their mortgage payments or struggling to keep up due to the long-term financial effects of COVID-19 on | more...

 
FHA Options

FHA Refinance Loan Q&A

Thinking about a refinance loan but not sure where to start? There are some common questions about refinancing your home loan, we provide some answers to them below from cash-out refinancing to rehabilitation loans. When Can I Refinance My FHA Mortgage? That may depend on the type of refinancing you seek. You can get an FHA Cash-Out Refinance loan once you have owned and occupied the property for 12 months.  For FHA Rate-And-Term Refinances, you can own the home for less than 12 months but the loan-to-value ratio will be lower than if you apply after having owned and occupied the home for more than 12 months. FHA Streamline Refinance options require you to own the home for at least six months. Can I Refinance A Non-FHA Mortgage Into An | more...

 
FHA refinance

Your FHA Refinance Loan Options

FHA home loans feature a refinance option. There are multiple options to refinance with an FHA mortgage and you can choose to refinance out of a conventional mortgage into an FHA loan, get cash back at closing time, and more. What do you need to know about FHA refinance options? FHA Cash-Out Refinance loans are not the only option to refinance a non-FHA mortgage. You can also apply for a no-cash-out version and get out of your current loan and into a new FHA mortgage.  Some choose to do this because they want out of an adjustable-rate mortgage, others choose an FHA loan because they are interested in a lower rate. When you are reviewing your refinance options, it pays to have an idea of your financial goals for the | more...

 
FHA Home Loan Questions

FHA Refinance Loan Terms You Should Know

If you have never applied for a refinance loan and are considering an FHA refinance, you may be unfamiliar with certain industry jargon and loan terms that will come up in the course of your loan application and during the approval process. This article isn’t about what it takes to be approved for an FHA refinance loan, but it will make some aspects of the process a bit less mysterious. Rate And Term Refinance This is a type of FHA refinance option that features no cash back to the borrower, and uses all loan proceeds to ​​pay off the original loan and cover closing costs. These loans can be used to refinance FHA or non-FHA mortgages. FHA Simple Refinance Like the Rate And Term, this refi option is meant as | more...

 
FHA Home Loan

Qualifying For An FHA Loan Or Refinance Loan

FHA home loans and refinance loans feature similar requirements in terms of FICO scores, credit history, and responsible credit use. When you want to refinance a home loan, it’s smart to treat the process exactly the same as you did when you applied for your first mortgage where applicable. But not all borrowers have the luxury of taking a year or more to plan and save for the loan. Some must act quickly because their homes have been damaged or destroyed in a natural disaster, or they have a job-related relocation or some other issue that requires a faster approach to the loan. Some borrowers need a new purchase loan; a job relocation or an increase in family size may warrant buying a larger home.  Knowing the FHA loan policy | more...

 
FHA loan

FHA Refinance Loan Options In 2022: FHA Cash-Out Refi

How prepared are you to apply for an FHA Cash-Out Refinance loan? Some borrowers don’t realize that some FHA refinance options require more preparation than others.  FHA Cash-Out loans have an FHA-required credit check and appraisal; saving for these expenses and your closing costs is a smart idea to maximize your borrowing power and keep your monthly payments lower.  Financing your allowable closing costs may hike your mortgage payments; smart borrowers try to decide in advance how high the payment can go before it is too high. What does it take to qualify for an FHA Cash-Out Refinance and get your application approved? Aside from the basics like FICO scores and your record of on-time payments, you will need to have lived in the home as your primary residence for | more...