December 20, 2011
FHA Cash-Out Refinancing Rules: Acceptable Payment History
Borrowers who want to apply for refinancing on an FHA insured mortgage have several choices. One of those is the cash-out refinancing
Articles Tagged With: FHA Refi
November 15, 2011
FHA Cash-Out Refinancing Maximum Loan Amounts
A recent reader question came in asking about FHA loan maximum amounts for cash-out refinancing loans–we thought it might be a good time to examine the rules for those maximums. In general, FHA loans have a specific loan-to-value limit. According to FHA.gov, “Effective for case number assignments on or after April 1, 2009, the loan-to-value (LTV) of any cash-out refinance to be insured by FHA may not exceed 85% of the appraiser
November 9, 2011
FHA Streamline Loan Basics
FHA insured loans have been eligible for Streamline Refinancing since the early 80s. According to the FHA official site, there are some common misconceptions about Streamline Loans that FHA borrowers and home owners should know before applying for these refinancing loans. For example, “Streamline” refers to the reduced amount of paperwork, qualifying requirements and other details involved in these mortgages. It does not mean there are no costs to the borrower or that no money will be paid out of pocket for an FHA Streamline mortgage. Borrowers do have the option of including costs of the loan into the mortgage, but that can seriously change the way the loan is handled if including those costs increases the loan amount too much. What are the basic requirements for an FHA insured | more...
October 24, 2011
FHA Streamline Refinancing Rules: Adding and Removing Borrowers
When an FHA borrower wants to refinance an FHA mortgage using FHA streamline refinancing, there are sometimes questions about adding or removing a borrower from the title. This may be needed for several reasons. If a borrower is getting a divorce, for example, refinancing the property under a single name would make sense. The same goes for a single borrower who is refinancing in connection with getting married–he or she might want to add the spouse to the title. When does the FHA allow the borrower to add or remove another person to the title during an FHA streamline loan? According to the FHA official site, adding a borrower is simple. “Individuals may be added to the title on a streamline refinance without a credit worthiness review, and triggering the | more...
September 29, 2011
FHA Loan Questions: What Is The Maximum For An FHA Streamline Refinance Loan?
FHA rules for Streamline Refinancing Loans changed in 2011, and there are updated guidelines borrowers and lenders need to know when trying to determine what the maximum loan amount might be for a particular borrower. Under the old rules (for cases assigned before April 18, 2011) there were two sets of guidelines. One set was for FHA streamline refinancing without an appraisal. For these loans, the old system allowed refinancing maximums that did not exceed the principal outstanding balance, minus any up front mortgage insurance premium refund, plus the amount of the new up front mortgage insurance premium (UFMIP). The old FHA streamline limits also included a “with appraisal” maximum which was based on the lower of the outstanding principal balance minus any UFMIP refund, plus closing costs and prepaid | more...