Michigan FHA Streamline Refinance
Throughout Michigan, the FHA streamline refinance program is popular because a number of families have chosen to finance their homes with FHA loans in the last few years and when rates drop, the FHA streamline refinance is popular. While rates are low, many of these people who live in Michigan are in an FHA loan that is at a higher interest rate than the prevailing FHA mortgage rates now – hence, they can benefit from the FHA streamline refinance program.
If you are living in Michigan and having trouble making your mortgage payment — the FHA streamline refinance program was designed to help you lower your mortgage payment without needing to completely re-qualify for a new loan. There is as minimum of documentation requirements as possible, for example: there is no asset verification, no employment verification, no income verification, and no minimum credit score required (note: some lenders do have a minimum credit score, so be sure to ask your loan officer.
Michigan FHA Streamline: No Asset Documentation Required
When first getting an FHA loan, you are required to document your assets. For example, all of your bank accounts such as checking, savings, brokerage accounts, and even your non-liquid assets such as retirement accounts and cars. When participating in the FHA streamline refinance, you are not required to document any of your assets, which means that no matter how much (or little) money you have in the bank, you can still qualify.
Michigan FHA Streamline: The Main Criteria
The most important criteria for participating in the FHA streamline program are that you cannot have more than one, thirty day late payment on your mortgage in the last 12 months and you must currently live in the property.
Assuming that you live in your house and that you have less than 1 thirty day late payments in the last 12 months you are eligible to participate in the FHA streamline program and will probably need an appraisal unless you can qualify for the FHA streamline program without appraisal.
Michigan FHA Streamline: No Out Of Pocket Closing Costs
When you go through the FHA streamline program, there are costs involved – but you are not required to pay those costs out of pocket, they can be rolled into your loan. This is also known as the Michigan FHA streamline program with no out of pocket closing costs or the FHA streamline program with no closing costs.
Michigan FHA Streamline Program: Is An Appraisal Required?
You may or may not be required to get an appraisal with the FHA streamline program depending on how long you have been in your current FHA loan. Here is how you won’t need an appraisal: if your new total loan amount exceeds your original loan amount by 1.5% or less — you will not be required to get an appraisal. So, if you originally had a $100,000 loan, your new loan amount cannot exceed $101,500 or you will need a new appraisal on your property when you go through the FHA streamline program.
Michigan FHA Streamline: No Proof of Income Required
With the FHA streamline program, there is no need to document your income. FHA has designed the streamline program so that you can qualify even if you don’t currently make as much money as you once did — which is more common in today’s economy. Also, whether you have been on the job 1 year or 20 years, it won’t matter — and it won’t matter if your income has recently dropped since you got your FHA loan.
Find out more about the Michigan FHA streamline program by speaking with one of our experts today!