FHA refinance loans are considered the best in the business for refinancing an existing FHA loan. They help a person in lowering the interest rates on their FHA loan, thus considerably decreasing the mortgage payments they have to make every month.
The FHA streamline refinance loans are even better for a person who wants to refinance his FHA loan. The streamline FHA refinancing allows you not only the chance to skip appraisal but also verification of the income and credit score required for applying for loan refinancing.
Despite the great benefits that FHA streamline refinancing offers, it has some requirements, which need to be fulfilled or you will not be eligible to apply for it. In the case of a person not meeting any one of these requirements, his request for streamlined refinancing of his FHA loan would be declined.
The following are some of the common qualifications that a person has to fulfill in order to become eligible for streamlined FHA refinancing
FHA streamlined refinancing is only available for people that had earlier secured an insured FHA loan. Moreover, the refinancing is only extended to those borrowers who have had a clean payment history for the past year and maintained a good credit score. In addition to this, the streamline refinancing can only be applied for if the borrower has completed 6 monthly payments on his secured FHA loan. Of all the qualifications required for FHA streamline refinancing, the most important one is credit score. The following are some of the important credit score details you must keep in mind when applying for streamline FHA refinancing.
Even though there is no requirement for a clean credit history when applying for streamlined FHA refinancing the credit score of a person has to remain spotless for the last 12 months or so.
When applying for streamlined FHA refinancing, a person also must not be going bankrupt and his refinancing request should also be under the maximum LTV allowed. The following are some important details that you must keep in mind when applying for streamline FHA refinancing.
Keeping these qualifications for quick and easy refinancing in mind can help a homeowner in securing FHA streamline refinancing for his or her insured FHA loans.