[Update November 2008 — Home prices have been dropping quickly all across the US so if you still have equity in your home and are in an adjustable rate mortgage (ARM) it might be a good idea to seriously investigate refinancing into a 30-year fixed government-backed FHA loan now rather than risk waiting too long and not having enough equity later. (Interest rates for FHA loans have been hovering between 6% and 6.75% in recent months.)]
President Bush and the US congress have recently passed multiple major finance bills. The new laws include stipulations that increase the loan limits for government-backed FHA loans. FHA loans are often the best and only option available for homeowners facing difficulties due to rising interest rates and increasing payments.
We have been authorized to offer homeowners a new fixed rate FHA mortgage relief loan. (Click here to learn more about FHA qualifications and click here to learn more about fees commonly associated with FHA loans.)
For Homeowners with Equity
With the traditional FHA loan program a homeowner can get a fixed rate loan for up to 97% of the current appraised value of their home. By taking advantage of Government Refinance Assistance, you could save thousands of dollars on your mortgage payments over the next few years and have the peace of mind of knowing that your home is financed with a low fixed rate.
If you have looked at the FHA requirements and feel you could be a good candidate for a traditional FHA loan now contact us today by filling in the contact form on the right. Here are the basic steps we will follow to help you get into a new and improved mortgage if you are a good candidate. [Note: If you have a mortgage interest rate of 6.75% or higher, odds are pretty good that an FHA refi will be a good idea.]
For Homeowners with No Equity
There aren’t many good options right now for homeowners who owe more on their home than the property is currently worth. Here are a few options:
1. FHA Streamline Refinance — If you are upside down on your mortgage and currently have an FHA loan then getting a refinance to an improved FHA loan should not be difficult if you have kept up with your mortgage payments. Contact us today if this applies to you.
2. Hope for Homeowners (H4H) loans (aka FHA short refi loans) — In addition to the 2008 economic stimulus package, the Congress and president passed a major housing bill on July 30, 2008 that added important features to the FHA program. The new legislation was intended to offer foreclosure prevention hope to homeowners who are “upside down” on their homes (or owe more than the home is now worth). The problem is that through mid-November the program hadn’t worked well at all. However, some important improvements to the program were announced on Nov. 19 so with any luck the program will start to pick up steam. See articles on the qualifications for the new FHA “short refi”, or HOPE for Homeowners (H4H) loan program here. If you are interested in this program your best bet is to contact your current lender and see if they are participating. If they cannot complete the program for you try back here and perhaps we could help.
3. Loan Modification Programs — If you don’t already have an FHA loan your best bet if you are upside down on your home and having trouble keeping up is to work with your current lender on loan modifications. Loan modifications normally reduce payments by lowering interest rates or extending the loan period. The federal government is working on programs to give lenders more incentive to modify troubled loans so keep your eye on the news section below for updates on that.
Be sure to bookmark this site and check back for the latest updates on government-backed efforts focused on alleviating the housing crisis in the US (see stories below).
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LATEST FHA RELATED NEWS:
