What Are FHA Derogatory Credit Waiting Periods?

What Are FHA Derogatory Credit Waiting Periods?

If you want to take out an FHA loan, and you’ve had a derogatory credit event, such as a bankruptcy, foreclosure, pre-foreclosure, deed-in-lieu of foreclosure, short sale, or mortgage charge-off occur within the few years, you may have to wait a bit before becoming eligible for FHA financing. Each type of event has its own waiting period, which is designed to protect both the FHA and the lender from the risk of taking on a borrower who may be likely to default on their loan.

FHA Simple Refinance vs. FHA Streamline Refinance: What's The Difference?

FHA Simple Refinance vs. FHA Streamline Refinance: What's The Difference?

The FHA Streamline Refinance is perhaps the fastest and most efficient way to refinance your FHA home loan. However, it’s not the only refinancing option available from the FHA; the Federal Housing Administration also insures another type of refinance loan, the FHA Simple Refinance. Like the Streamline Refinance, the FHA Simple Refinance is only available for current FHA home loan borrowers. However, unlike the FHA Streamline program, Simple Refinancing does require all borrowers to get a home appraisal. In this article, we’ll review more of the similarities and differences of these two FHA refinancing programs in order to help you decide which choice best fits your individual needs.

Can You Buy Mortgage Points on an FHA Streamline Refinance?

Can You Buy Mortgage Points on an FHA Streamline Refinance?

If you want to refinance your home with the FHA Streamline Refinance program, can you purchase mortgage points in order to reduce your interest rate? The answer is yes. Many FHA Streamline Refinance borrowers decide to reduce their interest rates with mortgage points. Typically, one point will cost one percent of the amount of the loan, and will usually reduce the borrower’s interest rate by 0.25%.

Can You Use an FHA Streamline Refinance to Refinance a 30-Year Loan to a 15-Year Loan?

Can You Use an FHA Streamline Refinance to Refinance a 30-Year Loan to a 15-Year Loan?

If you currently have a 30-year FHA mortgage, can you use the FHA Streamline Refinance program to refinance into a 15-year mortgage loan? The answer is no. Unfortunately, the Streamline Refinance program only permits borrowers to refinance into a loan that is the same term or a longer term.

Can You Refinance an FHA 203k loan with an FHA Streamline Refinance?

Can You Refinance an FHA 203k loan with an FHA Streamline Refinance?

If you already have an FHA 203k loan for home rehab, can you refinance it using the FHA Streamline Refinance program? In most cases, the answer is yes. However, for your property to be eligible for this, all rehabilitation and renovation work must be complete.

Are FHA Streamline Refinance Loans Assumable?

Are FHA Streamline Refinance Loans Assumable?

Are FHA Streamline Refinance loans assumable? The answer is yes. Just like other forms of FHA financing, FHA Streamline Refinance loans are fully assumable. However, borrowers typically need to get approved by both the FHA and the lender in order to be approved to assume the loan.

Is FHA Streamline Refinancing Available for Manufactured Homes?

Is FHA Streamline Refinancing Available for Manufactured Homes?

If you already have an FHA loan on a manufactured home, can you refinance it using the FHA Streamline Refinance program? In most cases, the answer is yes. However, you will still be bound by the regular restrictions of FHA Streamline Refinancing. This means that you must be able to achieve a net tangible benefit from the refinancing transaction in order to qualify.

Can you use an FHA Streamline Refinance for a Vacation Home or Investment Property?

Can you use an FHA Streamline Refinance for a Vacation Home or Investment Property?

If you currently have an FHA loan on a second home or an investment property, can you refinance it with the FHA Streamline Refinance program? In most cases, the answer is yes. However, you’ll need to check with your lender, since some lenders only approve FHA Streamline Refinances for owner-occupied properties.

What is the Required Credit Score for an FHA Streamline Refinance?

What is the Required Credit Score for an FHA Streamline Refinance?

One of the most attractive aspects of the FHA Streamline Refinance program is the fact that it technically does not require credit verification. This means there is no minimum credit score for FHA loans. However, lenders may have different credit requirements; just because the FHA doesn’t check your credit score doesn’t mean that a lender won’t.

Is the FHA Streamline Refinance Fixed-Rate?

Is the FHA Streamline Refinance Fixed-Rate?

Like most other kinds of FHA loans, FHA Streamline Refinancing comes in both fixed and adjustable-rate versions. Borrowers may choose to refinance their fixed-rate loan to another fixed-rate loan or an adjustable-rate loan. Likewise, a borrower can refinance an adjustable-rate loan to another adjustable-rate loan or a fixed-rate loan.

What is the Federal Housing Administration?

What is the Federal Housing Administration?

The Federal Housing Administration, or FHA, is one of the most important mortgage institutions in the country. Founded as part of the National Housing Act of 1934, this organization was one of the many expansions made by President Franklin D. Roosevelt as part of the “New Deal,” a sweeping legislation that sought to ease the Great Depression.

Who is the Ideal Borrower for FHA Streamline Refinancing?

Who is the Ideal Borrower for FHA Streamline Refinancing?

Making mortgage decisions can be tough. There are many variables and numerous factors involved, and making the right decision can seem complex and confusing. It helps to understand whether or not you are the ideal borrower for an FHA loan. In this article, we’ll look at a few indicators that might demonstrate that you are an ideal candidate for an FHA Streamline Refinance.

What are the Pros and Cons of FHA Streamline Refinancing?

What are the Pros and Cons of FHA Streamline Refinancing?

FHA Streamline Refinancing is the fastest way to refinance an FHA home loan. While this type of refinancing has a variety of upsides, it also has certain disadvantages as well. In this article, we’ll examine both, in order to help you decide if an FHA Streamline Refinance could be a good fit for your individual needs.