FHA Streamline Refinance refers to the refinance of an existing FHA-insured mortgage that requires restricted borrower credit documentation and underwriting. These are available through credit and non-credit qualifying options.
The basic requirements of a streamline refinance include:
- Mortgage must be FHA-insured
- Mortgage must be current (not delinquent)
- Refinance gives a net tangible benefit to the borrower, which varies based on the type of loan being financed, interest rate, and/or term of the new loan
- Cash greater than $500 cannot be taken out
- Investment properties are only eligible if the borrower is HUD-approved as a nonprofit borrower, state/local government agency, or an instrumentality of government
Lenders can offer streamline refinances with “no cost” to the borrower (no out-of-pocket expenses), except closing costs incurred during the deal. Lending agents are able to accomplish this by charging a higher interest rate on the new loan compared to the borrower financing or paying closing costs in cash.
Interested in securing an FHA streamlined refinance? Contact us today to speak with one of our specialists who can answer your questions and help get you refinanced.
Our "3C" Process:
Complete our pre-approval request
Consider options based on your requirements
Choose the offer that suits your needs best
Interested in learning more about REFINANCING?
For more information about refinancing your home, call the EB Mortgage experts at (616) 228-8797, e-mail at email@example.com, or apply online today!