FHA Streamline Refinance!
FHA to FHA refinancing option is considered streamlined because it allows you to reduce the interest rate on your current home loan quickly and oftentimes without an appraisal. FHA Streamlined Refinance also cuts down on the amount of paperwork that must be completed by your lender saving you valuable time and money.
- No Appraisal option
In order to qualify for a Streamlined Refinance your original home loan must be an FHA loan in good standing and the refinance must lower your monthly interest payments. This type of refinancing option reduces your monthly expenses by lowering your payments but there is no option to receive cash back.
Minnesota, Wisconsin, Illinois and Florida FHA mortgage loans are insured by the government and were designed to help more buyers achieve the dream of home ownership. FHA loans are insured by the government and offered by certain approved lenders. We are an approved mortgage banker for FHA loans.
The basic requirements of a streamline refinance are:
- The mortgage to be refinanced must already be FHA insured.
- The mortgage to be refinanced should be current (not delinquent).
- The refinance is to result in a lowering of the borrower’s monthly principal and interest payments.
- No cash may be taken out on mortgages refinanced using the streamline refinance process.
- You must be able to supply the lender with a copy of your current “NOTE” from your last mortgage settlement.
FHA program highlights:
- Get a preliminary loan approval in minutes
- Competitive and attractive rates
- Long-term amortization
- Fixed and arm loan rates
- Financing for 1-4 unit properties
- Rate/term refinances, cash out refinances, and streamlined refinances
- Cash out refinance is available
What is PMI (Private Mortgage Insurance)?
PMI is money paid to insure the lender against loss due to foreclosure or loan default. Mortgage insurance is required on conventional loans with less than a 20 percent down payment. FHA mortgage insurance requires an up front mortgage insurance premium payment that is added to the initial loan balance, instead of being paid out of pocket, as well as an annual fee based on the loan amount which is divided and added to each monthly payment.