The Federal Housing Administration (FHA) Streamline Refinance is an option available to all current FHA-backed homeowners, and now with new rule changes, the process is even easier to complete. In an effort to qualify more homeowners for the FHA Streamline Refinance, the FHA has decided to make the process as easy as possible. This means homeowners will not be asked to submit employment or income verification, and their credit will not even be checked.
In order to qualify, you must meet the following requirements:
That’s it – simple, fast, and in light of the current lowered interest rates, a smart financial move.
The best part is there isn’t even an appraisal needed, which is a plus for homeowners who have found themselves underwater in the current real estate market. According to the FHA Streamline Refinance requirements, homes that are underwater over 400% are still refinanced. This is great news for homeowners in some of the hardest-hit cities, where home prices have dropped the most – cities like Tucson, Arizona; Palm Bay-Melbourne-Titusville, Florida; Jacksonville, Florida; Lakeland-Winter Haven, Florida; and Atlanta, Georgia.
So if you have an FHA Mortgage and meet the above criteria, it has never been easier to qualify for a refinance under the lowered interest rates. The FHA is hoping this puts some of the strain off of the real estate market in both the short term and long term.