California FHA Streamline Refinance
California FHA Streamline Refinance
For anyone who lives in California, the FHA streamline refinance program is always hot when rates drop. Thanks to the FHA streamline refinance, it is possible to lower the interest rate on your FHA loan and get a lower mortgage payment with having to completely re-qualify for a new FHA loan.
California FHA Streamline: No Income Documentation Required
When you participate in the FHA streamline program, you are not required to document your income. FHA has designed the program to allow people who have been good borrowers to take advantage of interest rates when they drop regardless if you have changed jobs or simply don’t make as much money as you used to.
California FHA Streamline: No Asset Documentation Required
When you took out your FHA loan, you were required to provide 2 months bank statements in order to show the lender that you have at least a little bit of money in the bank in case anything went wrong. When you participate in the FHA streamline program, you are not required to provide bank statements, so if you have only $4.25 in your bank account, it is still possible to do an FHA streamline refinance.
California FHA Streamline: The Main Eligibility Criteria
The main criteria for participating in the FHA streamline program are that you must live in the property and that you can’t have more than two, thirty day late payments on your mortgage in the last 12 months.
Assuming that you live in your house and that you have less than 2 thirty day late payments in the last 12 months you are eligible to participate in the FHA streamline program and will probably need an appraisal unless you can qualify for the FHA streamline program without appraisal.
California FHA Streamline Program: Is An Appraisal Required?
It is possible to participate in the FHA streamline program and not need an appraisal – here is how: if your new total loan amount exceeds your original loan amount by 1.5% or less — you will not be required to get an appraisal. So, if you originally had a $100,000 loan, your new loan amount cannot exceed $101,500 or you will need a new appraisal on your property when you go through the FHA streamline program.
California FHA Streamline: No Out Of Pocket Closing Costs
When you go through the FHA streamline program, there are costs involved – but you are not required to pay those costs out of pocket, they can be rolled into your loan. This is also known as the California FHA streamline program with no out of pocket closing costs or the FHA streamline program with no closing costs.
Is the California FHA streamline program right for you? Find out more by speaking with one of our California FHA streamline experts today!
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