FHA Streamline Refinance: No Appraisal or Income Documentation? YOU BET!

Rates are the lowest they have been since Freddie Mac first began keeping track back in the 1970's.  Have you wanted to take advantage of the lower rates but are concerned about qualifying or the value of your home?

If you currently have an FHA loan, FHA allows you to do a streamline refinance without having to verify income also, an appraisal is not required.  

What is a FHA Streamline Refinance?  This is a refinance designed to lower the monthly principal and interest payments on a current FHA-insured mortgage with streamlined documentation.

Some of the specifics on a FHA streamline are:

• First and foremost you must have a minimum of a 5% payment reduction.
• Your lender may be able to provide a "NO COST" streamline which would allow for you to not pay any closing costs and/or prepaids out of pocket.  It is always my goal to try and do what I can to provide a no cost streamline for my clients but it is not a guarantee this can be done.  
• No cash back to the borrower, except for the minor adjustments at closing.  It can not be more than $500.
• Employment must be listed on application and it will be verified.  (Only employment, not income)
• Income documentation for wage earners or self employed is NOT REQUIRED.
• Other credit and/or debt is typically not considered.

Please keep in mind, if you have equity in your home and you choose to have an appraisal done, you may include your closing costs and/or prepaids in your new loan amount if the final loan amount does not exceed 97.75%  of the appraised value.

For more information or to see if your loan would qualify for a FHA streamline and if it would make sense for you to refinance, please contact me.  

253-228-1200 - Direct

juliesw@legacyg.com

www.legacyg.com/juliesw

MY GOAL IS SIMPLE...TO HELP YOU REACH YOURS!!