What Is a FHA Streamline Refinance?

The FHA streamline refinance program is a very popular way to refinance existing mortgages. It is designed to speed the normal process up and help homeowners get done with minimal paperwork. The FHA streamline loan is offered to existing FHA customers only. Therefore, you cannot get an FHA streamline loan unless you already have an FHA mortgage on your home. Here are a few things to keep in mind with FHA streamline refinances. 

Qualifications

In order to qualify for an FHA streamline refinance you have to meet a few criteria. Besides having an FHA loan already, you also have to have one that is in good standing. If you have missed payments along the way, you might not qualify. You also have to be refinancing for the sole reason of lowering your monthly payment. You cannot get any cash out with this type of loan.

Benefits

The major benefit of this loan program is that it is quick and easy. They will not have to check your credit or verify your employment. They did all of that the first time that you got a loan with them and you have maintained the loan so far. Therefore, they feel comfortable extending a loan with a low loan-to-value ratio to you. 

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