LENDER HOTLINE: 888-581-5008
FHA Streamline programs are designed for people with existing FHA loans. This programs is made the help your refinance your home in a quick efficient way. Streamline refers to a process that require only minimal documentation and fairly easy to quality. Most people that do an FHA Streamline Refinance end up lowering their monthly payments through interest and save up to a years worth of mortgage payments!
Just like with any other loan there are a set of FHA guidelines and requirements for the FHA Streamline Program, and Lenders may add requirements. However, this is limited to few cases as the lenders enjoy the quick and easy process too. The most common requirement that lenders will add is a slightly higher credit score to ensure that you will stay on good standing with you loan.
There are two types of FHA Streamline Programs, one that requires an appraisal and one that does not. The program without the appraisal is the perfect options for those who currently owe more than their home is worth. They can get the lower rates to make their home more affordable with out the worry of being denied the loan. If you decide to go through the process that does have an appraisal and you are in a great standing with your current loan this can save you even more money in your refinance.
FHA can offer a refund on the Upfront Mortgage Insurance Premiums (UFMIP). Meaning that you could get some of your old UFMIP payments credited towards your new UFMIPS.
FHA Streamline Benefits:
• No appraisal necessary
• No debt to income calculations
• No minimum credit scored required
• Reduced lender fees
• Quick streamlined paperwork process and closing times
• Underwater homes may be eligible
• Lowest rates
• You may be able to qualify for a refund on your UFMIP
This low paperwork, verification free streamline refinance is one of the simplest ways to refinance your home and save some money on your mortgage, even in cases of underwater homes. There are only a few requirements to qualify for this program. You must be a current FHA loan holder and you must be on good standing with your current loan.
Rates- The rates of FHA Streamline programs vary all the time as most every loan does. This variation could be as often as once a day. However the great thing about the FHA Streamline is that in 2015 the Federal Housing Administration reduced its annual MIP (Mortgage Insurance Premiums). These reductions can reach as high as 0.50%. This is a huge deal because through the FHA Streamline refinance borrowers can take advantage of the new low rates. This means that if you are eligible you can ditch your current interest rate and possibly get a new interest rate that is 0.050% lower.