The FHA requires that FHA borrowers certify that they will occupy the property bought with FHA financing as their primary residence. The FHA doesn’t offer loans for investors or even on second homes. It’s a program strictly to help those that need a low down payment and flexible underwriting program to buy a primary home. Get Matched with a Lender, Click Here. But just how long do you have to live in the home when you have an FHA loan? The FHA requires that you occupy the home within 60 … [Read more...]
When Should you Refinance an FHA Loan?
You took an FHA loan because of the low down payment requirements and/or the flexible underwriting requirements. Now you are toying with the idea of refinancing. When does it make sense to do so? Compare Offers from Several Mortgage Lenders. The answer is that it depends on your situation. Are you in the home for the loan term? You may want to consider refinancing into a conventional loan, but you’ll have to time it correctly. If you aren’t staying in the home for the long-term, or you … [Read more...]
What’s the Minimum Waiting Period for a FHA Streamline Refinance?
The FHA streamline refinance makes it easy for current FHA loan holders to refinance their loan. All you have to do is provide proof that you can make your current mortgage payments on time and that you benefit from the refinance. If you pass these two tests, you can usually refinance your FHA loan with little documentation. Get Matched with a Lender, Click Here. Before you jump headfirst at the first opportunity to lower your interest rate, though, you should know that you have to wait at … [Read more...]
Find Out if an FHA Streamline Refinance is Right for You
Do you worry that refinancing might cost you too much money to do? Maybe you worry about the paperwork or what the lender will ask of you. Get Matched with a Lender, Click Here. We have good news for you if you have an FHA loan. You may be able to refinance with the FHA streamline refinance. Just what is this program and is it right for you? Keep reading to find out. The FHA Streamline Refinance Defined First, let’s look at how the FHA refinance works. While it is a refinance, it’s very … [Read more...]
How Long Does Mortgage Insurance Last on FHA Loans?
If you take out an FHA loan, you will pay mortgage insurance no matter how much money you put down. The FHA requires at least a 3.5% down payment, but unlike conventional loans, even if you put 20% down, you will still pay mortgage insurance. Get Matched with a Lender, Click Here. But how long must you pay the insurance? When FHA Mortgage Insurance Ends Unfortunately, FHA mortgage insurance never ends unless you pay the loan off in full. In other words, you pay mortgage insurance premium … [Read more...]
DIY Renovation Tips for New Homeowners
Did you move into a new home and now want to make renovations? You may even be thinking about doing the renovations yourself. Who doesn’t want to save money, right? While you are being frugal, you should consider a few things. Not thinking about the renovations beforehand could end up costing you more than it costs to pay someone to do the renovations. Looking for Current Mortgage Interest Rates? Click Here. Establish a Budget Before you even start, create a budget. This helps you keep your … [Read more...]
How Long is the HELOC Approval Process?
A home equity line of credit allows you to tap into the equity in your home. If you put a large down payment down on the home or you paid off a significant amount of principal on your first loan, you may have equity. This equity is your money – you can consider it an investment. The money sits in your home until you sell it unless you take out a home equity line of credit. This second loan allows you to have access to the cash you accumulated in the home. The HELOC approval process is quicker … [Read more...]
Understanding the Draw Period and Expiration of HELOCs
You don’t expect your mortgage to expire, but HELOCs do have an expiration date. It’s more like an end of the draw period and the start of higher payments. There are ways around it, though. You aren’t stuck with the higher payment no matter what. You have options. But, you have to work to get them. We discuss how below. Compare Offers from Several Mortgage Lenders. How the HELOC Draw Period Works First, let’s look at the basics of a home equity line of credit. You apply for a specific loan … [Read more...]
What is the Role of an FHA 203K Consultant?
If you’ve decided to use the FHA 203K program to renovate a home you are buying or already own, you should be familiar with the role of the FHA 203K consultant. Compare Offers from Several Mortgage Lenders. The consultant only plays a role in the standard FHA 203K, not the streamline version. In other words, if you are making structural renovations or your renovations cost more than $35,000, you’ll need an FHA 203K consultant. What Does the 203K Consultant Do? You can think of the 203K … [Read more...]
Documentation Needed for an FHA Streamline Approval
The FHA streamline loan is among the easiest loans to qualify for, assuming you have an FHA loan now. The FHA made it simple for current FHA borrowers to refinance their loan with little documentation. They wanted FHA borrowers to have a simple way to reduce their monthly payment and/or interest rate without having to go through the entire approval process again. Looking for Current Mortgage Interest Rates? Click Here. The documents you need for FHA streamline approval are minimal compared … [Read more...]