Help with Refinancing

Everyone is correct on the Guidelines. If you remove a borrower, you must income qualify and get an appraisal. Keep the same borrowers and you could Streamline. The true cost to you is the "Hard Cost" or Origination, Title/Escrow and your "Pre-paids" or Interest, Taxes and Insurance. You may be eligible for a Re-fund based on when you purchased your home, at one point the Up-front fee was 2.25% and you M.I. factor (monthly mortgage insurance) was .5% of your loan amount. Then the up-front dropped to 1.0% and the M.I. factor .9% in October 2010 and increased, recently, to 1.25%, FYI. So it has to do with the difference of, if, you paid 2.25% of up-front mortgage insurance or a lower amount, than what it is today at 1.25% the difference being 1% refund. Kinda confusing I know. I know for a fact I cannot offer a "No Closing Cost Loan" with a rate of 4.5% there is just not enough money on that rate, as of today. Sounds fishy. I would say, depending on the loan amount >200K would be 4.75%FHA. If you have any further questions comments concerns you can email me @ rconstantine@myhsoa.com name is Rich. Hope this helps! RC

To answer your question regarding no fees, he is saying that you will not be paying out of pocket or incurr cost through financing. Generally every lender/broker will get a lender credit for the business sent to the funding lender. Your agent will then use that credit to pay for closing costs, such as title, escrow ect. The appraisal condition about the other co signer is going to be a guideline for streamline mortgages through FHA. Some streamlines require an appraisal, some do not. I believe the FHA guideline is to remove person from loan during streamline does require an appraisal. Your other question regarding the mortgage insurance: Each FHA loan requires mortgage insurance. Paid upfront and also paid monthly. Your upfront MIP sometimes there will be more left in the account (kinda like an escrow account) if you have a remaining balance, you will be given a refund, or a smaller payoff amount to your principal/interest of your mortgage. Then on your new FHA loan, you will need to again, purchase mortgage insurance, the upfront is paid through financing usually, and the montly is added to your payment. How much equity do you have in your home? You might want to look at conventional financing without mortgage insurance. Hope this helps!!!

Hi Jason.FHA Streamlines without an appraisal require the new loan to remain exactly the same as your current loan with respect to the borrowers. Since there is no income figure used with a streamline without an appraisal, both of you would have to remain on the new loan per FHA guidelines. You can still get an FHA loan, but there will be costs with any loan you do. The broker/lender has the ability too pay those for you, but I doubt they can do it at 4.5% as of today's rates.I have a no cost loan available at 4.75% fixed today. If the other lender/broker closes a FHA Streamline loan and removes your dad from title without an appraisal, you run the risk of FHA not insuring the loan, thus putting you in a situation where you do not have a FHA insured loan and the benefits that go with it, such as assumability when you go to sell it along with the potential to streamline refi again, if needed.Hope this helps. Patrick McCarthy, PatrickM@Northpointe.com; 866-901-3576

If you live in colorado give us a call. We can lock your rate in at 4.5 on a 30 year fixed. Call Daniel Lotter w/Tri Star Funding 877-489-8249 toll free