FHA Streamline Refinances

FHA Purchase | FHA Refinance | FHA 203K Rehab Loans | FHA 5/1 ARM
FHA 3/1 ARM | FHA Reverse Mortgage -HECM | Streamline Refinances

FHA Streamline Refinances are a tremendous advantage of having an FHA loan.  Once you have an FHA loan streamlining is a simple way to lower your payment and save yourself $$$$ without having to go through all the hoops of a regular refinance.

  • Are you paying to much on your FHA loan?
  • Lower your monthly payments and start saving right away
  • Save thousands over the life of your loan
  • No out of pocket expenses
  • Fast, Easy and No Hassles
  • If you already have an FHA loan all you need to do is call or fill out the form and you’ll be on your way to a lower payment!

FHA Streamline Refinances Changes:

FHA is now making an effort to help their existing borrowers by  changing its approval guidellines on its popular refinance program. This change is going to now make the FHA Streamline Refinance program available for a greater number of existing FHA home owners.

You may be wondering why in today’s mortgage market would FHA make a change that would loosen their guidelines?? This is where it is critical to remember that FHA does not make loans, They insure them. By helping their existing customer base keep their mortgage payment more affordable it will cut down on FHA’s foreclosures. At least that is the thinking behind the change.

Something that is important to take note of is that in FHA’s new guidelines, is that as long has the home owners are current on their existing FHA mortgage and that there is a net tangible benefit to refinance, then there is good reason to insure the new loan. The FHA defines “current on the mortgage” as being up-to-date on payments, and having zero 30-, 60-, or 90-day lates within the last 12 months. Demonstrating benefit is slightly more difficult to show.

According the FHA, “benefit” is defined by refinance type.

When refinancing any fixed rate mortgage, or an existing ARM to a new ARM, the borrower’s new monthly (principal + interest) + (mortgage insurance premium) must be 5% or more below the current levels to meet the FHA’s minimum benefit requirements.

The refinance of any ARM to a fixed rate mortgage is considered an acceptable benefit.

Beyond that, Streamline Refinance guidelines are simple:

  • Income is not verified, or required
  • Employment is not verified, or required
  • Assets are not verified, unless required to meet closing costs

Note that an appraisal is not required, either This allows “underwater” homeowners to refinance their FHA-insured home loan without penalty. The downside is that without an appraisal, the new loan size may not exceed the current principal balance plus the FHA’s 1% upfront mortgage premium. All other charges must be paid as cash at closing.

The FHA Streamline program is a refinance program special to FHA-insured homeowners.


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