FHA Mortgage Loans are generally only available to folks who are going to live in the property – the EXCEPTION is if you already own the home, and you want to refinance it. If you purchased a home with a FHA mortgage, then moved out, and are renting it (so now it’s Investment property) you might be eligible for a Streamline Refinance.
We can close a FHA Streamline Refinance of Investment Property.
Obviously, the benefit of the FHA Streamline is greater for folks who purchased the home, and have a loan that was endorsed by FHA prior to June 1, 2009.
FHA STREAMLINE REFINANCE Program Guidelines
The FHA Streamline Refinance Program Guidelines are EXACTLY the same for Owner Occupied and NON Owner Occupied (Investment Property).
- No Appraisal Required
- No Pay stubs or W-2′s (In North Carolina by law we are required to verify income, but we do that with a Verbal verification that you have employment)
- the loan amount can not go up, so you can’t finance in closing costs
- anyone who was originally on the loan – must remain on the loan
- FHA Has a Net Tangible Benefit requirement, meaning we’ve got to show it will save you money
- You must be current on your mortgage, and at least 6 payments must have been made.
For Loans that were Endorsed prior to June 1, 2009 there are very very low FHA PMI rates. For folks who have a FHA Mortgage loan with an endorsement date AFTER that date, it’s important to remember that FHA PMI rates are slated to go up later this year (2013).
There’s also going to be a change to the program that means the FHA PMI will stay on your loan forever (30 years). Because of that – we strongly suggest calling about a FHA Streamline NOW!
Have questions about a FHA Streamline Refinance of Investment Property? Call Steve and Eleanor Thorne, 919 694 5058. We CAN DO this program – and we’d love to help you save some money!
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