Choosing an FHA loans is and excellent option. Home Loans offer lots of refinancing opcions. One of the most convenient and attractive is the FHA Streamline Mortgage.
The main advantage and purpose of an FHA streamline, is to lower the loans rate and payment, while saving the borrower time and effort by eliminating all closing costs.
FHA Streamline mortgage loans are disigned for people that already have FHA mortgage. Under FHA Streamline, you can choose not to have your home re-appraised--the original appraisal is used to calculate your loan amount.
If you are considering an FHA Streamline Refinance, remember that there are a variety of lenders you may use. Even though these loans are insured by the government, they are not originated by the government. You should search to find a mortgage company who will offer you the best plan. Some companies will offer lower rates than others, but beware of hidden closing costs they may charge.
The FHA Streamline loan can only be used if the home is still your primary residence. You must be current on your original loan.
Although the FHA Streamline Refinance loan is very easy to qualify for, there are some requirements. The basic requirements of a streamline refinance are:
Ø The mortgage to be streamlined must already be FHA insured.
Ø All mortgage payments must have been paid current by the borrower.
Ø The stramline is to result in a lowering of the borrower's monthly principal and interest payments.
Ø No cash may be taken out on mortgage using the streamline refinance process.
Some advantage of FHA Streamline mortgage are:
ü FHA Streamline loans have reduced paperwork.
ü Simple requirements for eligibility.
ü A list of features which makes FHA Streamline financing very attractive for borrowers.
ü FHA Streamline loans don’t require a meeting with your loan officer.
Other useful Resources:
Fha Vs Conventional Comparison Guide
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