FHA Streamline Refinance Guidelines for 2010 for California will be new to some, but old to others. Under today’s FHA streamline refinance guidelines, homeowners with FHA loans have the ability to lower their monthly payment when FHA mortgage rates are reduced. Guidelines today allow homeowners to refinance without an appraisal or verify income and assets all with incredibly fast turnaround times. Even homeowners with no employment or lower credit scores can be eligible. What’s Changing with FHA Streamline Refinances in 2010? A letter from HUD on September 18, 2009 listed the guidelines for 2010 FHA Streamline Refinances, effective on January 1, 2010. The biggest changes to the guidelines are: The maximum mortgage amount for streamline refi’s without an appraisal cannot exceed the current principal balance and the new up-front mortgage insurance premium Homeowners must have a full appraisal completed in order to add-in closing costs For streamline refinances with an appraisal, discount points (buying down interest rate) can no longer be rolled into the new mortgage Homeowners must be employed when they submit their FHA streamline refinance loan application Homeowners must verify assets that are needed for closing 2009 vs. 2010 FHA Streamline Refinance 2009 Streamline 2010 Streamline No appraisal No maximum loan to value No asset verification No income verification Low credit scores eligible Quick closings Appraisal is recommended Max loan to value to 97.75% Assets verified Income verified Higher credit scores required No quick closings What Does this Mean to a California Homeowner with a FHA Mortgage? If you currently have a FHA loan, you need to determine your eligibility and whether this is beneficial to you prior to the new guidelines taking affect. Call 951-506-4663 to schedule your FREE strategy session or email jonas@jonasloans.com.

Original Source New FHA Streamline Refinance Guidelines in California for 2010