26 Oct 2021
By Mortgage Blog Content

When does an FHA Streamline Refinance Make Sense?

Mortgage
The FHA streamline refinance is not right for everyone, but if rates significantly dropped or you can afford a fixed-rate loan and want out of an ARM, it can make sense. If you’ll stay in the home for the foreseeable future, you can either save money on interest or have a more predictable payment. Before you jump on board, ask yourself: Am I saving enough money to make the cost of refinancing worth it? Would I feel more at ease with a fixed-rate loan versus an ARM? When Doesn’t an FHA Streamline Refinance Make Sense? Like we said, sometimes it doesn’t make sense to refinance. First, make sure you can afford…
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19 Oct 2021
By Mortgage Blog Content

What is an FHA Streamline Refinance?

Mortgage
FHA borrowers have an exceptional program available to them called the FHA streamline refinance. It’s a simple way to get a lower mortgage payment and/or lower rate, but it’s not for everyone. Read this guide to learn all about FHA streamline refinance and how it works. What is an FHA Streamline Refinance? The FHA streamline refinance allows FHA borrowers to skip most underwriting tasks including income and credit verification. It’s a simplified way to get a lower rate or change your loan’s term to get a more predictable payment. Who is Eligible? To be eligible for the FHA streamline refinance, you must be a current FHA borrower with a current loan.…
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28 Sep 2021
By Mortgage Blog Content

Borrowers With Student Loans Might Have An Easier Time Qualifying For An FHA Loan

Mortgage
In the past, a lot of potential borrowers were declined for FHA loans due to the presence of student loans. Now, the Biden Administration along with the FHA has eased a lot of their regulations surrounding student loans, making it easier for borrowers with student loans to qualify for a home loan. The FHA required that FHA mortgage companies calculated the monthly student loan payment as one percent of their outstanding loan balance if the loans were not fully amortized; however, this is now changing. The One Percent Rule Is Not Always Accurate Even though the one percent payment rule has been in place for a long time, it is not…
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28 Jul 2021
By Mortgage Blog Content

FHA Cash-Out Refinance – Are You Eligible?

Mortgage
If you have equity in your home, you may wonder how you can access it. You don’t want to sell your home, but you know you’ve earned a profit from it. We have many options to secure your home’s equity, one of which is the FHA cash-out refinance. Unlike the FHA streamline refinance, you don’t have to be a current FHA borrower. As long as you meet the requirements below, you can use an FHA loan to cash into your home’s equity. Qualifying for the FHA Cash-Out Refinance Like an FHA purchase loan, the FHA cash-out refinance has simple requirements: Minimum 600 credit score Maximum 43% debt-to-income ratio Proof you’ll occupy…
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12 Nov 2020
By Mortgage Blog Content

How Are Different Mortgage Lenders Handling Student Loans During the Pandemic?

Mortgage
The coronavirus pandemic has had a massive impact on everyone. This pandemic has led to massive economic issues as well. Given the ongoing crisis as it relates to student loan debt, many students are wondering how the pandemic is going to impact their student loans and how their student loans are going to impact a potential mortgage payment. There are a few points to keep in mind. Freddie Mac In general, loans backed by Freddie Mac are going to use the student loan payment that is marked on the credit report. If this amount is $0 or unknown, then the lender is going to use 0.5 percent of the outstanding loan…
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