Articles in Category: Streamline Refinance

April 2, 2019

FHA Streamline Refinance Loan Rates

There are lots of online lending websites discussing interest rates for mortgage loans. But what do you need to know about FHA home loan interest rates and refinancing? If you want an FHA Streamline refinance loan, you will be applying for a refi loan that generally requires the transaction to have some tangible benefit to the borrower such as a lower monthly payment or a lower interest rate. When you shop around for lenders offering the best interest rates, remember that one very important factor applies; until you enter into a mortgage rate lock commitment with the lender, today’s interest rates will not apply to your loan. In other words, until you have a commitment in writing for the interest rate, daily and weekly rate fluctuations will apply. The mortgage | more...

September 24, 2018

Lower Your Monthly Mortgage Payment

By Bruce Reichstein

Do you need to lower your monthly mortgage payment? There are several FHA refinance loan options to help you do that, and depending on your financial needs and goals you may find that an FHA refinance is exactly what you need to get into that lower monthly obligation. Lower Mortgage Payments Before They Begin Some applying for an FHA home loan have the option of not financing certain up front costs such as the FHA Up-Front Mortgage Insurance Premium. Any expense you add to the loan amount potentially increases your monthly payments. One of the best things you can do when looking for a new home loan is to try to avoid adding more funds to the loan amount if you do not need to. For some, it’s already too | more...

Conventional Loan Interest Rates Make History, FHA Loan Rates Still Incredibly Low

September 4, 2018

Five Things You Should Know About FHA Refinance Loans

By Bruce Reichstein

Five things you should know about FHA refinance loans include the fact that you can find an FHA mortgage to refinance any typical home loan, you can get a refinance loan with cash out, and you can refinance a home to remove an ex-coborrower, spouse, or other persons from the mortgage. #5: FHA Refinance Loans Are Available For Both Existing FHA Mortgages And Non-FHA Mortgages You may only refinance a mortgage using an FHA refinance loan, but the types of mortgage you can refinance include FHA, VA, conventional, USDA, etc. You do not have to have an existing FHA mortgage to apply for FHA refinancing. You are required to occupy the home being refinanced with the FHA mortgage, and refinance loans for secondary residences may be limited depending on the | more...

August 30, 2018

FHA Refinance Loans: Is There A No-Credit Check Refi?

By Bruce Reichstein

Some borrowers need to know: is there an FHA refinance loan that has no credit check? This question is more common than you might think and the answer depends on several variables. FHA Refinance Loans That Require Credit Checks There are many FHA mortgage loans that require both a new credit check and a new appraisal. Cash-out refinance loans are in this category, as are FHA reverse mortgages also known as Home Equity Conversion Mortgages (FHA HECM). The lender is tasked with making sure the borrower can afford the new loan and that the borrower is an acceptable credit risk. After all, cash is going back to the borrower in the case of both an FHA reverse mortgage and an FHA Cash-Out Refinance loan and the financial institution will need | more...

June 26, 2018

Are You FHA Refinance Eligible?

By Joe Wallace

Are you FHA refinance loan eligible? There are some very simple requirements refi loan applicants must meet in order to qualify for an FHA refinance loan. Do you know what they are? Factors That Affect Your FHA Refinance Loan Eligibility FHA refi loan eligibility may depend on a borrower’s FICO scores in some cases, along with the number of house payments you have made at application time. FHA minimum FICO scores include a range between 580 or better for maximum financing. Another factor in knowing if you are eligible for an FHA refinance loan is the kind of refinance loan you seek; FHA Cash-out Refinancing and FHA no Cash-Out refinance loans can be used for FHA or non-FHA loans alike. The same is true of FHA Rehab Loans processed as | more...

April 17, 2018

Streamline Refinance Loan Rules: Is Cash Back Permitted?

By Bruce Reichstein

Do FHA Streamline Refinance Loans permit cash back to the borrower? Can you apply for “more” refinance loan than you need to pay off the original mortgage and take that cash at closing time? The FHA Streamline Refinance loan is for existing FHA mortgages; borrowers who have an FHA loan who want to refinance in order to get a financial benefit such as a lower payment, shorter loan term, or get out of an adjustable rate mortgage should consider this as an option. But is one of the financial benefits offered the ability to get cash back? FHA refinance loan options do include cash-out refinancing, intended for FHA and non-FHA loans alike. Let’s examine what the FHA loan handbook, HUD 4000.1, has to say about cash back to the borrower | more...

April 17, 2018

FHA Streamline Refinance Loans: Tangible Benefits

By Joe Wallace

What are the tangible benefits of an FHA Streamline Refinance Loan? Believe it or not, that phrase is not just a clever way to say “Streamline refinance loans can help you lower your payments.” The phrase “tangible benefits” is found in the FHA loan handbook to describe an outcome of getting the loan. “Tangible benefits” means some distinct help for the FHA Streamline Refinance loan borrower in the form of a lower mortgage rate, a lower monthly payment, the ability to get into a fixed rate mortgage and out of an adjustable rate loan, etc. In most cases an FHA Streamline refi is meant to give the borrower one or more of these benefits. In fact, HUD 4000.1 has specific instructions to the lender on this issue; “The Mortgagee must | more...

March 5, 2018

FHA Streamline Refinance Loan Rules: Credit, Occupancy

By Joe Wallace

FHA Streamline refinance loan rules for credit, occupancy, and more are found in HUD 4000.1, the FHA loan handbook. FHA Streamline refinancing is for borrowers who have existing FHA mortgages and want to apply to refinance into a lower mortgage rate, a lower monthly payment, or into a fixed rate FHA mortgage out of an adjustable rate FHA loan. FHA Streamline Refinance loans have no FHA-required credit check or appraisal. Your participating lender may require one anyway, but you’ll need to discuss those issues with a loan officer. The rules in HUD 4000.1 begin by stating what kinds of property can be refinanced with an FHA Streamline loan. “Streamline Refinances may be used for Principal Residences, HUD-approved Secondary Residences, or non-owner occupied Properties.” The lender is required to verify occupancy | more...

February 15, 2018

Should I Refinance My Home Loan With An FHA Mortgage?

By Bruce Reichstein

Should I refinance my home with an FHA mortgage? There are several reasons why it’s good to consider your FHA options when it’s time to start planning a refi loan. I Want To Refinance To Get A Lower Interest Rate If you pay attention to online mortgage loan interest rate reports, you’ll see that in general FHA mortgage loan rates are lower than their conventional counterparts. The interest rate issue can be hard for some to understand because they see these rates compared side-by-side and assume those numbers are at or near what they will be offered if they applied at that moment. But interest rates are negotiated between the borrower and lender for FHA refinance loans, and a borrower’s credit plays a large part in determining what interest rates | more...

October 6, 2017

Can I Refinance A Conventional Mortgage To An FHA Loan?

By Bruce Reichstein

Can I refinance a conventional mortgage to an FHA loan? It’s a very good question to ask, especially if you are interested in moving out of an adjustable rate mortgage into a fixed-rate loan. Do you know what your FHA home loan refinance options are? FHA Refinance Loans For Conventional To FHA It is possible to refinance a conventional mortgage to an FHA loan. According to the FHA loan handbook, HUD 4000.1, there are several options for FHA refinancing, including non-FHA to FHA transactions: “FHA insures several different types of refinance transactions: 1. Cash-out refinances are designed to pull equity out of the Property. 2. No cash-out refinances of FHA-insured and non FHA-insured Mortgages are designed to pay existing liens. These include: Rate and Term refinance, Simple Refinance, and Streamline | more...