Archive for FHA streamline
100% Home Loan
Posted by: | CommentsGone are the days in which every lender offers no money down mortgages or 100% home loans. No money down home loans were all the rage 5 years ago before the housing bubble exploded. Since the subprime mortgage debacle, you need to be a veteran, eligible for a VA home loan or get creative. VA home mortgages are without a doubt, the best home financing options on the U.S. market today. The VA loan program enables you to buy a home with no money down or refinance with no equity. Aside from the USDA loan (agriculture mortgage), VA loans are the only home buying opportunity for Americans that requires no down-payment. 100% mortgage financing can be complicated if you are talking to a loan company that has not kept up with today’s guidelines.
Buy a Home with No Money Down
100% loans is a term used that refers to mortgages with zero down on a purchase or no equity needed to qualify for mortgage refinancing. VA mortgage rates are available at phenomenally low interest. For example, today a VA mortgage is available for 3.875% with a fixed interest rate on a 30-year term.
100% Home Loans with Fixed VA Rates starting at 3.875%
Today, even getting creative has its limits. 100% loans are hard to find unless you already have government loan under the VA or FHA loan program. It’s called the streamline refinance and besides that you need to be current on your mortgage for the last 12 months. Streamline loans enable homeowners to lower their mortgage rate quickly and cost-effectively as long they are not seeking cash out.
Streamline Loan Highlights
- 100% Refinancing with No Appraisal
- Stated Income with No Income Documentation Required
- Refinance with No Equity Needed
- Flexible Guidelines with Low Credit Scores Accepted
No Income Mortgage Refinance
Posted by: | CommentsOne of the most common questions I get submitted to me on the Natiowide website, is “How do qualify for a no income mortgage refinance?”
Stated income, no doc and no income verification loans were all very popular home loans a few years ago. What started as a convenience mortgage for self-employed borrowers turned into a popular choice for all types of borrowers because it was easy but for many people it enabled them to qualify for a loan that they reall could not afford. Brokers and lenders clearly pushed the envelope on no income mortgage loans over the last decade and the mortgage inustry is paying the price for all of the loan defaults and foreclosures right now.
Today the only know no income mortgage refinance option is the streamline loan. This popular government refinance loan is available with the VA streamline refinance and the FHA streamline refinance. These programs do verify employment, but at this time they are not verifying income. This refinancing loophole has helped thoussands of borrowers refinance even though their debt to income ratio was higher than the loan program allowed. For more infomation about the streamline loan program read the recently published article, The Streamline Refinance, the Best Kept Secret in the Mortgage Industry.
Streamline Refinance the Best Kept Secret in the Mortgage Industry
Posted by: | CommentsOnly a small percentage of loan professionals understand the streamline refinance guidelines and therefore there is a lot of misinformation about the VA and FHA streamline. Streamline rates range from 3.75% to 4.375%, so if you like cheap money with low mortgage rates, the streamline refinance is worth considering.
Loan originators are always looking for lending loopholes that will give them an edge over their competition’s loan programs. With only a few loan programs in today’s tight lending environment it can get frustrating for loan companies to carve out a niche. As with many industries, knowledge is power and loan officers that learn their guidelines backwards and forwards for VA and FHA loan programs truly are a few steps ahead of their competition. Not only does loan product knowledge earn you credibility with your borrower, but it actually enables you to get your clients qualified for a loan they would normally not be eligible for. Both VA and FHA mortgages have a loophole with the streamline refinance. If your clients already have a FHA or VA mortgage and they are having trouble qualifying for conventional refinancing because of credit, equity or income, then the streamline loan program may be the solution your client needs to qualify for a house refinance that saves them money while protecting them from foreclosure.
Streamline Refinance Great Solution for Qualifying VA and FHA Borrowers
FHA and VA home loans do not have minimum credit scores requirements from the agencies however; most government lenders have instituted their own credit score minimum in an effort to ensure the mortgage originated can be insured. The streamline refinance programs are available with both government loan products VA and FHA. To qualify for a streamline refinance, borrowers must already have a government mortgage (FHA or VA mortgage) and are seeking a rate and term refinance. Many of the VA mortgage lenders today have extended a unique refinancing opportunity with the VA streamline that require no minimum credit score.
Streamline Refinance Loan Highlights
- No Minimum Credit Score with FHA Streamlines
- VA Streamline Refinance with No Credit Score Requirements
- 12 Month Mortgage History is required.
- No Income Verification with Streamlines
- Skip Mortgage Payments when Streamline Refinancing
FHA Mortgage Refinancing with No Equity
Posted by: | CommentsFHA offers loan programs for borrowers who need a FHA refinance loan but have no equity available because of the sluggish housing market. The FHA streamline refinance is great for the homeowner that has a wants a rate and term refinance. No cash out or debt consolidation is available with FHA streamline loans and certain restrictions do apply. To qualify for a FHA streamline, you must currently have a FHA mortgage that you are current on with no late payments in the last year. In late 2009, HUD made some changes to the FHA guidelines and a good payment history on your existing FHA loan is essential.
Let’s face it millions of homeowners owe more than their home is worth. Fannie Mae and Freddie Mac offer the Home Affordable Refinance Program and the DU Refinance Plus program that FHA allows you to refinance your mortgage without an appraisal (so the fact that your house’s value has dropped like a piano from the roof is irrelevant) if you meet certain guidelines.
The FHA streamline refinance has been surging in popularity with FHA lenders because it meets the needs of so many homeowners that are blessed with an FHA loan. FHA mortgage rates are as low as they have ever been and FHA loan companies have become much more efficient processing government refinance loans.
FHA Streamline Refinance Requirements
1. You have to have made at least six payments on your current FHA loan.
2. If you have had your FHA loan for less than 12 months, all the loan payments must have been made in a timely manner. If you have had the FHA mortgage for more than 12 months, you can have been late only once in the last year and must have paid on time the last 3 months.
3. Your new FHA loan payment must be at least 5% lower than your old payment, or you must be replacing an ARM with a fixed loan (the new FHA rate can’t be more than 2% higher) or hybrid loan (the new loan payment can’t be more than 20% higher), or reducing the term of your FHA loan, or reducing your interest rate by at least 2% (if replacing a fixed home loan with an ARM).
4. The property being refinanced must be your primary residence.
5. Closing costs for FHA streamline loans must be paid upfront (with the exception of mortgage insurance premium (MIP), which can be financed in the new loan.
Which Mortgage Refinance Loan is the Best for You?
Posted by: | CommentsThere are many important determining factors in choosing the best refinance loan for you and your family. The first question you need to ask yourself is which refinance programs do you qualify for. The second question to consider…What is the purpose for refinancing the home loan? What are the various options for refinance loan programs?
| • | Rate and Term Refinancing for Lower Payments |
| • | Cash Out Refinancing for Debt Consolidation |
| • | Save Money by Refinancing Home Equity Credit Lines |
| • | FHA 203k Loans to Finance Cash for Home Remodeling |
| • | 30-Year Fixed Rate Home Loans |
| • | 100% VA Mortgage Refinance |
| • | FHA Streamline Loans for FHA Borrowers |
| • | Combine 1st & 2nd Mortgage Loans for 1 Lower Payment |
Our mortgage refinance team offers a free consultation that usually reveals the best solution based your financial needs, goals and lending qualifications. Our experienced loan professionals can help you understand the details and differences between conventional and FHA mortgage loans. If you are considering a cash out or FHA streamline refinance, we will help you review the FHA requirements for mortgage refinancing.
