FHA Streamline Refinance Requirements

What is Debt-to-Income Ratio (DTI)?

A ratio that states the amount of money owed compared to income. Calculated monthly, it is used to help make lending decisions.

What are Conventional Loans?

A mortgage that is not administered, supported, or insured by a government agency. Conventional loans can “conform” to government guidelines, but they are by definition not supported or approved by a specific agency.

What are Closing Costs?

The fees that are paid at the end of a real estate transaction. They can include real estate commission, fees for an attorney, title search, and title insurance payments (if paid upfront).

What is a Bank Statement?

A record of the amounts currently held in a bank account. Most bank statements will have information on the amounts deposited and withdrawn, and they are often used for mortgage and refinancing approval to demonstrate borrower income and savings.