Bad Credit Mortgage Refinance Tip [mortgagegoalrates.blogspot.com]
Nearly 1 million Florida homeowners who are blocked from refinancing loans under current federal programs could earn lower interest rates with proposed legislative changes to the Home Affordable Refinance Program. ... "I have a high credit score. I ... Bill Aims to Improve Federal Home Refinance Plan
The FHA secured loan is designed for people who are facing inevitable foreclosure due to mortgage payments adjusting beyond their means of affordability. If you took out an 80/20 or ARM loan back before 2007 then you probably are aware now that your rates were not fixed. For many people in the economy this is financially devastating because with the rate increase you are probably making less money and the ability to make your house payment has probably been diminished.
The secured loan from FHA is designed to help those with adjustable rates afford their home by switching their loan to a lower more affordable fixed rate.
What exactly are the guidelines to qualify for these types of loans? We have created a list of the requirements that must be met to qualify for this life saving loan program.
Your credit history must reflect prior on-time mortgage payment history BEFORE your mortgage rate was adjusted.
You must have a stable employment history for the last 2 years shown by yoru last 2 years of W2's.
The home you live in must be occupied and you either need 3% of equity in your home or 3% cash for a down payment.
You must be able to prove your income to pay for the new loan and new fixed rate.
This proof can be obtained by your last 2 paystubs.The adjustable interest rate on your home must have been set to adjust between June 2005 - December 2009. Loans taken out today by borrowers will not qualify for this program in the future.
The nice thing about this type of loan is that there is no pre-payment penalty if you come into some money and want to pay the loan off early. If you qualify for this type of loan, FHA can get your home out of the pre-foreclosure or foreclosure status within 14-21 days.
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