FHA Streamline Refinance Fees are being lowered to help more people be able to take advantage of the FHA streamline refinance program, this was announced by President Obama on March 6, 2012 but won’t be effective until a FHA Mortgage Letter is released. The fees being lowered are the FHA Mortgage Insurance Premiums. The FHA streamline refinance program allows borrowers that have been current on their mortgage in the last 12 months to refinance without getting an appraisal or verifying income. This is a huge benefit to borrowers that may be underwater on their FHA mortgage. Call 302-703-0727 to take advantage of the FHA Streamline Refinance or APPLY ONLINE.
John R. Thomas Explains the FHA Streamline Refinance MI Announcement
The big benefit annouced was that the upfront mortgage insurance being charged is being lowered from 1% of the mortgage loan amount to only 0.1%. They are also lowering the monthly mortgage insuarance premium from 1.15% to only 0.55%. These two changes could save borrowers potentially thousands.
The only downside to the program which is a BIG ONE is that it is only available for borrowers who currently have an FHA loan that was originated before June 1, 2009. This is leaving a lot of people out who could really benefit and in my opinion is a dumb move on the part of the White House. Here is why, the Monthly MI premium wasn’t increased until October 1, 2010 so why would you leave out all the people who got loans at 0.55% monthly amount who can’t refinance right now as they would have to take the higher MI premium at 0.55% just because they had a loan that was originated from June 1, 2009 till October 1, 2010?
If you do have a loan that was originated before June 1, 2009 or would like to find out if yours was, give me a call at 302-703-0727 or APPLY ONLINE and we will give you a free analysis for an FHA Streamline Refinance.
John R. Thomas
Certified Mortgage Planner – NMLS 38783
Primary Residential Mortgage
248 E Chestnut Hill Rd
Newark, DE 19713