Bad Credit Refinancing with FHA

Talk to FHA lenders that have the ability to approve bad credit refinancing up to 85% loan to value with relaxed mortgage lending guidelines as well. BD Nationwide can connect you with HUD approved mortgage lenders that provide cash out loans for borrowers with bad credit looking to for refinancing loans with a fixed interest rate. We offer competitive fixed rate mortgages for refinancing adjustable rate loans and consolidating high rate debt. FHA Home Loans for bad credit can help homeowners find competitive fixed rates! Lower interest rates that allow bad credit scores is a rare lending combination for mortgage loans in today's economy. FHA home refinancing is fashionable again with the collapse of the secondary market and the reduced interest rates available now with government mortgages like VA or FHA. Since you only need a 500 fico score, thousands of homeowners will select FHA for bad credit refinancing.

FHA Bad Credit Home Loan Programs for People with Low Credit Scores

Preferred Loan Type Select ---------------> Mortgage Refinance Cash Out Refinance Home Equity New Home Purchase Property Type Select One-----------> Single-Family Detached Condominium Cooperative Multi-Family Dwelling Modular Mobile Home Manufactured Home Property Value Select One-----------> 1st Time Buyer 75,000 - 80,000 80,000 - 85,000 85,000 - 90,000 90,000 - 95,000 95,000 - 100,000 100,000 - 105,000 105,000 - 110,000 110,000 - 115,000 115,000 - 120,000 120,000 - 125,000 125,000 - 130,000 130,000 - 135,000 135,000 - 140,000 140,000 - 145,000 145,000 - 150,000 150,000 - 155,000 155,000 - 160,000 160,000 - 165,000 165,000 - 170,000 170,000 - 175,000 175,000 - 180,000 180,000 - 185,000 185,000 - 190,000 190,000 - 195,000 195,000 - 200,000 200,000 - 205,000 205,000 - 210,000 210,000 - 215,000 215,000 - 220,000 220,000 - 225,000 225,000 - 230,000 230,000 - 235,000 235,000 - 240,000 240,000 - 245,000 245,000 - 250,000 250,000 - 255,000 255,000 - 260,000 260,000 - 265,000 265,000 - 270,000 270,000 - 275,000 275,000 - 280,000 280,000 - 285,000 285,000 - 290,000 290,000 - 295,000 295,000 - 300,000 300,000 - 305,000 305,000 - 310,000 310,000 - 315,000 315,000 - 320,000 320,000 - 325,000 325,000 - 330,000 330,000 - 335,000 335,000 - 340,000 340,000 - 345,000 345,000 - 350,000 350,000 - 355,000 355,000 - 360,000 360,000 - 365,000 365,000 - 370,000 370,000 - 375,000 375,000 - 380,000 380,000 - 385,000 385,000 - 390,000 390,000 - 395,000 395,000 - 400,000 400,000 - 405,000 405,000 - 410,000 410,000 - 415,000 415,000 - 420,000 420,000 - 425,000 425,000 - 430,000 430,000 - 435,000 435,000 - 440,000 440,000 - 445,000 445,000 - 450,000 450,000 - 455,000 455,000 - 460,000 460,000 - 465,000 465,000 - 470,000 470,000 - 475,000 475,000 - 480,000 480,000 - 485,000 485,000 - 490,000 490,000 - 495,000 495,000 - 500,000 500,000 - 505,000 505,000 - 510,000 510,000 - 515,000 515,000 - 520,000 520,000 - 525,000 525,000 - 530,000 530,000 - 535,000 535,000 - 540,000 540,000 - 545,000 545,000 - 550,000 550,000 - 555,000 555,000 - 560,000 560,000 - 565,000 565,000 - 570,000 570,000 - 575,000 575,000 - 580,000 580,000 - 585,000 585,000 - 590,000 590,000 - 595,000 595,000 - 600,000 600,000 - 605,000 605,000 - 610,000 610,000 - 615,000 615,000 - 620,000 620,000 - 625,000 625,000 - 630,000 630,000 - 635,000 635,000 - 640,000 640,000 - 645,000 645,000 - 650,000 650,000 - 655,000 655,000 - 660,000 660,000 - 665,000 665,000 - 670,000 670,000 - 675,000 675,000 - 680,000 680,000 - 685,000 685,000 - 690,000 690,000 - 695,000 695,000 - 700,000 700,000 - 705,000 705,000 - 710,000 710,000 - 715,000 715,000 - 720,000 720,000 - 725,000 725,000 - 730,000 730,000 - 735,000 735,000 - 740,000 740,000 - 745,000 745,000 - 750,000 750,000 - 755,000 755,000 - 760,000 760,000 - 765,000 765,000 - 770,000 770,000 - 775,000 775,000 - 780,000 780,000 - 785,000 785,000 - 790,000 790,000 - 795,000 795,000 - 800,000 Over 800,000 Credit Rating Select ---------------> Excellent Good Fair Poor

Bad Credit Refinancing Possible with FHA Loans

"Many hard-working American families who were able to make their mortgage payments under the initial teaser terms of the exotic loan are now struggling to make ends meet because their rates have doubled or tripled," said HUD Secretary Alphonso Jackson. FHA home refinance loans provide a second chance for many American homeowners that have below average credit scores.

It's no secret that FHA refinance rates have stayed below 4% for the last two years, but do not expect that to last for long. The Department of Housing and Urban Development has raised the insurance rate several times on FHA refinancing loans so it makes sense to lock into a loan that save you money now before HUD hikes the premiums again. We extend several term options when FHA refinancing, such as the 15 and 30-year programs. Many homeowners that are looking to minimize the monthly housing expenses have migrated towards the 3/1, 5/1, 7/1 and 10/1 ARMs. These are considered hybrid mortgages because the rate is fixed for a set period before converting to the adjustable period. Today, the most popular FHA refinance loan continues to be the 30-year term that ensures borrowers will have a fixed interest rate for 360 months.

As a result, people are scrambling to get their faltering loans refinanced. When you have bad credit, it can be difficult to get approved. The subprime market has almost vanished, and conventional loans are pretty much out of the question unless you have excellent credit and can meet lenders' increasingly stringent qualification requirements. FHA home loans allow bad credit refinancing up to 96.5% loan to value.

So, what are my options?
If you have low credit scores, you should consider applying for a FHA loan. The Federal Housing Administration (FHA) government loans are one of the last refinancing solutions for borrowers with bad credit because the U.S. Department of Housing and Urban Development (HUD) does not impose any minimum credit score standards for FHA home loans. That’s right! FHA does not have a credit score requirement. Hard to believe, isn't it?

Just think, you can get 85% cash out with FHA. And, it's perfect for refinancing adjustable mortgages or home refinancing of fixed-rate mortgages to get a better interest rate and save money. Remember, the fed has lowered interest rates by quite a bit recently. So, now is the time to take advantage of these government loans that offer fixed mortgage rates and a fixed monthly payment. FHA does allow bad credit refinancing but most cash out transactions will only be approved up to 85% LTV. Learn more about our bad credit FHA home loans today.

Are you facing foreclosure?
HUD may be able to help. They fund free or very low cost housing counseling nationwide. HUD-approved housing counselors can help you understand the law and your options, organize your finances and represent you in negotiations with your lender. Go to hud.gov/offices/hsg/sfh/hcc/hcs.cfm or call (800) 569-4287 or TTY (800) 877-8339 to find HUD-approved housing counseling agencies. – This article was written by Maria Ny for BD Nationwide

Predatory Mortgage Lending Prevention Bill

Senate Republicans said new mortgage regulations may cut off the flow of credit to subprime borrowers, those with weak credit or high debt. The White House opposed the measure in November, saying it would increase litigation and reduce future homeownership. They have it right, because if you back lenders into a corner, they will pull their money and redirect their capital in other less restrictive areas of the economy.

Legislation making more FHA loans available to subprime borrowers facing foreclosure has strong support. Bush supported FHA mortgages, were approved by the House and Senate so you would think the FHA lending guidelines would have been expanded already. The FHA loan provisions offer more FHA-insured home loans expanding and becoming more available to a broader range of borrowers by reducing the down payment requirements and increasing the mortgage loan limits nationwide. Both President Bush and President Obama requested that congress increase the FHA spending limits and ease the lending guidelines to help increase affordability for homeowners suffering with their adjustable rate mortgages. Congress seems to always wait until the fourth quarter to complete the FHA loan enhancements. The passed the bill to the Senate who finally came together with a FHA mortgage package that was in line with the President as well as Congress. Unfortunately, many legislators in congress are insisting that the complete mortgage menu is included in the FHA mortgage bill. The bill that Congress passed goes further than just the FHA loans with prevention measures to help borrowers avoid predatory mortgage lending and assist bankrupt borrowers maintain ownership of their homes. The House approved this flawed bill and now the much needed FHA lending provisions are stuck in a bill that needs to be reworked. Requiring mortgage lenders to ensure homeowners can pay back their home loan is a great idea, but the proposed oversight of mortgage brokers is very anti-competitive and would cause a mass exodus of brokers that drive the loan products created from consumer demand.

Let's be honest, the subprime crash had very little to do with mortgage brokers. Deflating property values and no secondary market for loan collateralization ignited the fire that destroyed 80% of home equity, subprime and non-conforming loan products. The bottom line that the House made inaccurate assessments about the cause of the subprime mortgage debacle. Therefore there solutions to prevent mortgage loan crashed in the future is extremely flawed and if passed will erode decades of home financing progress.

Please note that Nationwide lenders do not insure FHA refinancing like HUD. We connect you with FHA approved lenders that originate loans that are insured by the Federal Housing Administration. Monthly mortgage insurance is required on FHA refinancing on 30-year terms or 15-year terms with loan to value's that are greater than 90%.