Presently Have a FHA Mortgage?
A FHA Streamline Refinance Could Save You Money
Did you finance a property using an FHA-insured mortgage? (Federal Housing Administration).
It's possible that you can now Refinance and save money on your monthly Mortgage payments through a FHA Streamline Refinance ...
How do you save?
Reduced FHA Mortgage Insurance Premiums: FHA recently enacted a 50 Basis Point reduction in Monthly Mortgage Insurance costs to Borrowers, resulting in most cases, a half-percent cut on Mortgage Insurance charges. (For more info regarding these changes, click HERE ).
Interest Rates: FHA interest rates are lower than Conventional Loans, typically a full quarter per cent lower. A good savings on a monthly Mortgage payment.
So ... what is an FHA Streamline Refinance?
It's a Refinance of your current Mortgage that will reduce your Interest Rate. Many times during a FHA Streamline Refinance it's possible that an Appraisal may not be required.
Please note however: If an Appraisal isn't conducted, Closing Costs can NOT be rolled into the loan. (Ask me for further details and options regarding Appraisals.)
A Streamline loan reduces the amount of paperwork and documentation required from loan applicants too. No Verification of Income or Assets is needed. Both of these features are definitely a bonus for those refinancing via a Streamline loan.
Who qualifies for an FHA Streamline Refinance?
- You must presently hold an existing FHA loan
- You must have been current on your monthly Mortgage payments during the previous 12 months
- You must use a FHA-Approved Lender for your new loan
- You must have owned your property for a minimum of 6 months
- The potential SAVINGS reaped must be at least 5% on your monthly payment attributed to the Principal and Interest and Monthly Mortgage Insurance
Another bonus to utilizing an FHA Streamline Refinance loan is found via the Closing Date set for the new loan.
Prior to the FHA changes made on January 26, 2015, larger amounts of interest (as much as 31 days) could be collected by Lenders at the time of Closing. That has changed and Borrowers save money because of it.
Real money-saving potential exists for many present FHA-insured Borrowers. Is that you?
If in Illinois - the Chicagoland area, Contact Me today for more detailed info regarding FHA Streamline Refinancing and to discover what savings might exist for you ...
* In need of reliable Mortgage answers and service? Hoping to Buy, Build, or Refinance a home in Illinois - the Chicagoland area? Contact me at any of the following:
Gene Mundt, Mortgage Lender, a Lender with 37 years of mortgage experience, will offer you exemplary mortgage service and advice when seeking: Conventional, FHA, VA, Jumbo, USDA, and Portfolio Loans in Chicago and the greater Chicagoland region, including: The Lincoln-Way Area, Will County, (New Lenox, Frankfort, Mokena, Manhattan, Joliet, Shorewood, Crest Hill, Plainfield, Bolingbrook, Romeoville, Naperville, etc.), DuPage County, the City of Chicago, Cook County, and elsewhere within IL.
Your Business and Referrals are Appreciated!
This type of refinancing option reduces your monthly expenses by lowering your payments but there is no option to receive cash back.