Articles Tagged With: FHA Refinance Loan Rules

March 18, 2019

How Do I Refinance My Home Loan?

Are you planning to buy your first home and wondering about your refinance loan options later down the line? Do you already own a home you need to refinance? There is good news for you; refinancing with an FHA mortgage can help you get into a lower mortgage payment, get out of an adjustable rate mortgage, or even renovate your house. What does it take to refinance a home loan with an FHA mortgage? Choose The Refinance Loan You Need There are several FHA refinance loan options. If you need to remodel or repair your home at the same time you refinance, you can apply for an FHA 203(k) rehab loan that provides funds for approved upgrades and improvements. But the FHA rehab refinance loan (which is also available as | more...

FHA Home Loans: Things To Do, Things Not To Do

December 4, 2018

FHA Cash Out Refinance In 2019

By Joe Wallace

There are many uses for an FHA cash-out refinance loan in 2019. Are you considering paying down student loan debt? Taking equity out of your home in cash for use to to home improvements, or to make a down payment on a new vehicle? FHA loan rules don’t restrict how you can use the funds from your cash out loan. FHA Cash-Out Refinance Loans In 2019 Some borrowers may be concerned about the rising home loan interest rates of 2018, but interest rate trends go in cycles and some mortgage experts are looking to the new year for some corrections or a slowing of interest rates going up based on the notion that further increases might damage consumer confidence. That would encourage the Fed to avoid more rate hikes at | more...

November 28, 2018

Can I Refinance With An FHA Loan?

By Joe Wallace

Need to refinance your loan with an FHA mortgage? Depending on what type of property you are refinancing, you may be eligible for an FHA refinance loan for cash out, a rehab loan refi, or even an FHA-to-FHA Streamline refinance loan with no FHA-required credit check. One of the most important factors in determining if you can refinance with an FHA loan is the reason why you wish to refinance. Those who want to get a lower interest rate on an investment property, for example, would be ineligible to apply for an FHA Single Family Refinance Loan as these loans are restricted to owner/occupiers only. Those who want to switch from a conventional home loan to an FHA mortgage loan would be permitted to apply if they are using the | more...

October 29, 2018

Five Uses For FHA Refinance Loans

By Bruce Reichstein

Need to know your FHA refinance loan options? There are many good uses for an FHA refi loan including using cash-out refinance options to reduce existing debt or make a large future purchase to help with school, a job, etc. #5: FHA Refinance Loans Can Be Used To Get A Lower Interest Rate FHA interest rates are negotiated between borrower and lender. The rate you are offered with an FHA mortgage may be lower than conventional rates, so if you currently pay on a conventional mortgage it is a very good idea to ask a participating FHA lender how you may be able to get a better rate. Home loan interest rates offered to you are dependent in part on your credit, but don’t assume just because you have had | more...

September 21, 2018

FHA Refinance Loan Credit Questions And Answers

By Bruce Reichstein

FHA refinance loans have a set of guidelines for credit scores and credit history-do you know what it takes to be approved for an FHA refinance loan? There are some common questions about FHA refinance loans where credit is concerned, knowing the answers may help you a great deal. What Kind Of Credit Scores Do I Need To Be Approved For An FHA Refinance Loan? In general, FHA loan requirements include a FICO score at 500 or better for some loans, 580 and higher for maximum financing. These are FHA minimum requirements and do not reflect lender standards, which may be higher. Refinance loans with cash out will require certain FICO score ranges (lender provided) that are key to getting maximum financing. You will need to ask the lender about | more...

September 19, 2018

Sell Or Refinance With An FHA Loan?

By Joe Wallace

Which is the better option? Sell your home, or refinance your mortgage loan with an FHA refinance loan? Your financial needs and goals will determine part of the answer to this question, the nature of the housing market and how much you still owe on your mortgage loan will help inform the answer, too. FHA Refinance Loan Options For Those Considering Selling Their Property You can sell the home you’re currently in, or refinance it with an FHA cash-out refinance loan or an FHA rehab loan if you want to use FHA mortgage loan funds to repair or remodel the property. Why refinance instead of sell? Some borrowers think about selling because they want to move into a larger home. Refinancing isn’t an option for these people…or is it? The | more...

September 10, 2018

FHA Mortgage Refinance Checklist

By Bruce Reichstein

If you are exploring your refinance loan options, FHA refi loans can help with cash out refinancing, rate-and-term refi, or even a refinance loan that lets you rehab or remodel your property. If you want a refinance loan, it’s a very good idea to assemble a checklist in the planning stages so you know where you need to focus to prepare for the new loan. There is more than one area to make checklists for including areas like your credit, your home ownership goals, and the plans you have for your refi loan. FHA Refinance Loan Checklists: Goals And Financial Plans A good checklist includes the reasons for your checklist items in the first place. Ask yourself why you want to refinance your mortgage-make a list of pros and cons | more...

Conventional Loan Interest Rates Make History, FHA Loan Rates Still Incredibly Low

September 4, 2018

Five Things You Should Know About FHA Refinance Loans

By Bruce Reichstein

Five things you should know about FHA refinance loans include the fact that you can find an FHA mortgage to refinance any typical home loan, you can get a refinance loan with cash out, and you can refinance a home to remove an ex-coborrower, spouse, or other persons from the mortgage. #5: FHA Refinance Loans Are Available For Both Existing FHA Mortgages And Non-FHA Mortgages You may only refinance a mortgage using an FHA refinance loan, but the types of mortgage you can refinance include FHA, VA, conventional, USDA, etc. You do not have to have an existing FHA mortgage to apply for FHA refinancing. You are required to occupy the home being refinanced with the FHA mortgage, and refinance loans for secondary residences may be limited depending on the | more...

August 30, 2018

FHA Refinance Loans: Is There A No-Credit Check Refi?

By Bruce Reichstein

Some borrowers need to know: is there an FHA refinance loan that has no credit check? This question is more common than you might think and the answer depends on several variables. FHA Refinance Loans That Require Credit Checks There are many FHA mortgage loans that require both a new credit check and a new appraisal. Cash-out refinance loans are in this category, as are FHA reverse mortgages also known as Home Equity Conversion Mortgages (FHA HECM). The lender is tasked with making sure the borrower can afford the new loan and that the borrower is an acceptable credit risk. After all, cash is going back to the borrower in the case of both an FHA reverse mortgage and an FHA Cash-Out Refinance loan and the financial institution will need | more...

August 13, 2018

FHA Mortgages: When Is Cash Back Allowed?

By Bruce Reichstein

When is cash back to the borrower permitted with an FHA home loan? Some borrowers have the idea that they will apply for a mortgage loan that has a higher amount than the money required to purchase the home and pay for any fees that are allowed to be included in the loan amount. But is this possible? FHA mortgage loan rules that govern cash back to the borrower are found in HUD 4000.1, which says that in most cases cash back to the borrower in this manner is not possible where new purchase, “forward” mortgages are concerned. Money Back Rules For FHA Forward Mortgages A forward mortgage, or FHA purchase loan, can only be for appraised value or the asking price (whichever is lower) and any costs included in | more...