- 1). Talk to your lender about a FHA-streamlined refi if you already have an FHA loan. This program lets you refinance at a lower rate and eliminates a lot of paperwork. As long as your loan has a good payment history, you are not getting any cash out and you are lowering your payments, you may be able to refi without an appraisal, credit check or income verification.
- 2). Get needed cash from the equity in your home with an FHA Cash Out refi. If you are living in your permanent residence and are keeping it as such, you may be able to qualify for a loan of up to 85 percent of the appraised value to cover your original loan, closing costs and any additional cash you want to take. You must still qualify at the higher loan payment using FHA loan guidelines.
- 3). Refinance your loan for up to 97 percent of the appraised value combined with FHA's lower mortgage insurance premiums using its traditional refi program. This is a great solution for those who are holding a first and second mortgage with adjustable rates and little equity. It is also a solid option for those who may have gotten a few blips on their credit since they purchased their home.
- 4). Consider an FHA Reverse mortgage if you are 62 or older and wish to take advantage of the equity in your home while eliminating mortgage payments. Any repayment of your loan does not occur until you sell the home or are deceased.
- 5). Get a lower rate, even though you have a late mortgage payment in your past. If a rate spike on an adjustable rate mortgage threw you for a financial loop, there is still hope for getting onto solid ground again with a low rate fixed mortgage. The FHASecure Program was designed just for people like you.
- 6). Rectify your negative equity situation--where you owe more on your home than it is worth--on your primary residence with a FHA Hope for Homeowners refi. This program negotiates with your lenders based on the current appraised value of your home to accept a 90 percent payout on the current value of your home. It may also negotiate with any secondary lenders you may have loans with to reduce or eliminate those loans. Check with your FHA lender about your state's guidelines.
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