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How Do I Use The FHA Streamline Program To Refinance My Home?

The FHA Streamline Refinance program is one of the many options available to homeowners. Programs like this will help you be able to afford your monthly mortgage payments so that you can keep your home. Your local mortgage broker will be able to help you find refinance your mortgage with ease.

FHA streamline refinance have been around since the 80s. This is a very good option for homeowners to consolidate their mortgage and experience the freedom to choose the amount of payments they can handle.

The Federal Housing Administration or the FHA has several certified lenders that will assist you in the process. You can even get financial assistance when refinancing. Among the things included in the FHA guidelines for refinancing are income and collateral.

The guidelines are flexible, if you need to know. But these depend on compensating factors like low debt to income ratio and low loan-to-value ratio. This is a good option for people who are also at risk for credit default.

FHA loans, just like any other loans, are given to eligible borrowers with good credit scores. But it doesn’t mean those without a good credit standing can’t qualify. FHA will still allow such people to get approved as long as they have not filed any declaration of bankruptcy in the last five years since the application.

Some technical requirements for an FHA loan include a verification of the mortgage payment history for the last 12 months (or the length of time the mortgage has been held). HUD’s Credit Alert Interactive Voice Response System (CAIVRS) need not be checked, but a check of HUD’s Limited Denial of Participation (LDP) and General Services Administration (GSA) exclusion lists. Also, a termite report is not a requirement under the FHA guidelines.

To know more about what the other terms and conditions covered by the FHA streamline refinance program, it would be best if you consult with your local mortgage broker.

Successful applicants have already experienced getting a break of up to several hundred dollars on their monthly payments from the FHA streamline program.