Refinancing Loan

f=”http://www.fhamortgageprograms.com/florida/”>Florida FHA loan Information from an FHA lender

An FHA loan is a federal insured mortgage loan that is made by a private Florida mortgage lender that is  insured by the Federal Housing Administration. The FHA loans are only provided by federally qualified lenders.

FHA loans have historically allowed lower income Floridians to borrow money for the purchase of a home that they would not otherwise be able to afford. The FHA mortgage program originated during the Great Depression of the 1930s to stimulate the economy and get people buying homes again when the rates of foreclosures and defaults rose sharply. The FHA loan program provides lenders with sufficient insurance to protect against loss in a case of default. Some FHA loan were subsidized by the government, but the goal was to make it self-supporting, based on insurance premiums paid by Florida borrowers.

Over time, private Florida mortgage insurance (PMI) companies came into play, and now FHA primarily serves people who cannot afford a conventional down payment or otherwise do not qualify for PMI.

On August 31, 2007, the FHA added a new refinancing program called FHA-Secure to help borrowers hurt by the 2007 subprime mortgage financial crisis.

The history of FHA loans

The National Housing Act of 1934 created FHA or  Federal Housing Administration which was established primarily to increase home construction, reduce unemployment, and operate various FHA loan insurance programs. FHA does not loans, nor does it plan or build houses. As in the Veterans Administration’s VA loan program, the Florida mortgage applicant must qualify for the loan though a private Florida lending institution. This financial organization then may ask if the borrower wants FHA insurance on the loan or may insist that the borrower apply for it. The federal government, through the Federal Housing Administration, investigates the applicant and, having decided that the risk is favorable, insures the lending institution against loss of principal in case the borrower fails to meet the terms and conditions of the mortgage. The borrower, who pays an insurance premium 1/2 percent on declining balances for the lender’s protection, receives two benefits: a careful appraisal by an FHA inspector and a lower interest rate on the mortgage than the lender might have offered without the protection.

For the Florida home buyer the FHA program can simplify the purchase of a home, making financing easier and less expensive than a conventional mortgage loan product. Some highlights of the Florida FHA loan program include:

Minimal Down Payment and Closing costs.

Down payment less than 3.5% of Sales Price Gifts are allowed Seller can credit up to 6% of sales price towards closing and prepaid costs. 100% Financing available No reserves required. FHA regulated closing costs.

Easier Credit Qualifying Guidelines such as:

  No minimum FICO score or credit score requirements. FHA will allow a home purchase 1 year after a Bankruptcy. FHA will allow a home purchase2 years after a Foreclosure.

To take advantage of the FHA program in Florida, give us a call 1-800-570-0448 or visit www.FHAmortgagePrograms.com

For Florida first time home buyers and other borrowers, the FHA home loans can have key advantages:

Easy Qualification – The FHA loan insures Florida mortgage lenders against loss for loans made to properly qualified FHA home loan borrowers. So you’re likely to find FHA mortgage loans with terms that make it easier for you to qualify than any other mortgage program..

Minimal Down payment Requirements – Florida FHA loans work with as little as 3.5% down and those funds can come from a family member, charity, or your employer. Although the FHA loan does not have a zero down mortgage option yet, you will find that your loan officer can point you to many Down payment assistance programs that work well with Florida FHA home loans.

Less than A-1 Credit is Okay – The Florida FHA home loan program exists to expand the pool of home buyers. Even borrowers with prior bankruptcies or mortgage lates get approved every day for FHA mortgages to buy or Refinance homes in Miami, Jacksonville, Fort Lauderdale or any Florida city we serve. The FHA loan program uses credit quality, not credit score!

Lower Cost Over the Life of the Loan – The Florida FHA home loan rates are extraordinarily competitive. FHA’s lower risk to the lender means a better rate for the borrower.

Safeguards for Borrowers Who Get Behind – The Florida FHA loan mortgages also allow the lender more options in helping borrowers who fall behind keep their homes are get current again: special forbearance, workouts, even free mortgage counseling. Further, FHA/HUD can allow the lender to place past due payments and move them to the end of the loan and in some instance will actually pay your past due payments for you. Options to save your home you’ll never get from a conventional loan! In an uncertain world, this is another excellent reason for you to get an Florida FHA loan.

Options for Manufactured Housing – Under certain conditions, you can even finance a Florida Mobile Home or manufactured home using a Florida FHA mortgage loan. Call 1-800-570-0448 to get pre-approved for a Florida FHA loan for manufactured housing or just use our quick application to learn more!

FHA Loans Are Fully Assumable – When you are ready to sell your home, you can offer buyers FHA financing! All FHA loans can be assumed by qualified buyers.

These are just seven of the many good reasons to apply for an FHA mortgage. Call 1-800-570-0448 to speak with a friendly Florida FHA loan specialist now!

FHA Home Loans for Purchasing a Florida Home

Although Florida FHA home loans require additional paperwork, the reality is that applying for an FHA mortgage loan in Florida is not much different from applying for conventional financing. In fact, for many Florida mortgage applicants learn that the small amount of extra time turns out to be an exceptional mortgage bargain because they save thousands of dollars over the life of their Florida Mortgage.

At 1st Continental Mortgage, we have been working with the FHA program for many years. We’re experts at assembling the proper paperwork and presenting your loan application to FHA approved lenders diligently and professionally. It’s one of the ways that we have earned our reputation for closing FHA home loans in Florida on-time.

You may be surprised at how flexible Florida sellers are in the current market and how many programs there are that provide Down payment assistance to applicants for FHA financing to purchase Florida homes, condos, and townhouses. The fact is, seller can pay up to 6% towards your closing costs. This means, no closing costs for you when negotiated during the purchase contract!

The FHA loan program offers excellent fixed rate options and never a prepayment penalty. If other Florida mortgage lenders are quoting you subprime rates, you owe it to yourself to make the call to compare the costs of getting an FHA home loan for your home purchase. Call 1-800-570-0448 to speak with an FHA loan expert before accepting any conventional mortgage quote as the best you can do!

History of FHA loans

Until the latter half of the 1960s, the Federal Housing Administration served mainly as an insuring agency for loans made by private lenders. However, in recent years this role has been expanded as the agency became the administrator of interest rate subsidy and rent supplement programs. Important subsidy programs such as the Civil Rights Act of 1968 were established by the United States Department of Housing and Urban Development.

In 1974 the Housing and Community Development Act was passed. Its provisions significantly altered federal involvement in a wide range of housing and community development activities. The new law made a variety of changes in FHA activities, although it did not involve (as had been proposed) a complete rewriting and consolidation of the National Housing Act. It did, however, include provisions relating to the lending and investment powers of federal savings and loan associations, the real estate lending authority of national banks, and the lending and depositary authority of federal credit unions.

Further changes occurred in the 1977 Housing and Community Development Act, which raised ceilings on single-family loan amounts for savings and loan association lending, federal agency purchases, FHA insurance, and security for Federal Home Loan Bank advances. In 1980 the Housing and Community Development Act was passed; it permitted negotiated interest rates on certain FHA loans and created a new FHA rental subsidy program for middle-income families.

On March 6, 2008, the Florida “FHA Forward” program was initiated. This is the part of the stimulus package that President Bush had in place to raise the loan limits for Florida FHA loans.

 

 

By: FHA home loan Lender

With the economy the way it is today and with so many people concerned about their financial well-being, many people are looking to pair down their financial obligations. In many cases, those that can will first look to bring down their monthly mortgage payment. Short of paying off the mortgage, the only way to decrease what you pay a month is to refinance your existing mortgage. This is a very effective way of lowering both your payment and sometimes significantly lowering your interest rate as well. One of the best ways a person can do this is with a FHA Streamline Loan.

The FHA Streamline Loan is a perfect for refinancing your home and lowering your payment. It also has many advantages that many refinancing loans do not.

The first is that there is no credit check or income verification necessary when getting a FHA Streamline Loan. In addition, there is also no need to get your home appraised or reappraised in order to qualify for this particular loan.  This makes it easier and quicker to refinance FHA loans.

However, there are a few stipulations to the FHA Streamline Loan that you must be aware of.

In order to get this loan, you must already have an FHA mortgage loan. That is why the paperwork for this loan is less, and the approval process is so short. Since you already have an FHA loan, you have already gone through all the paperwork, you have had the credit check and the employment verification and you proved yourself to be little to no risk.

In addition, with these loans you will not be able to borrow more than your did when you bought the home, which is why you are not required to get your home reappraised. If you would like you can have your home reappraised and if there is a difference in value, then you may qualify for other FHA refinancing loans.

Working out budget, trimming the fat wherever necessary, is all part of being responsible when it comes to money. While doing this is always a good idea, when times are tough, like they are these days, one cannot afford to take their financial obligations lightly. Looking into getting an FHA Streamline Loan is one way to be proactive and make sure that you are cutting back wherever possible.

By: Al Hardy

 The FHA loan program was created to help increase homeownership. The FHA program makes buying a Florida home easier and less expensive than other types of Florida home loan programs. Here are just some Examples of how FHA can help you purchase a Florida home,

Minimal Down Payment and Closing Costs.

Down payment less than 3% of Sales Price 100% Financing options available No reserves or required. FHA regulated closing costs. Seller can credit up to 6% of sales price towards buyers costs.

 Easier Credit Qualifying Guidelines such as:

No minimum FICO score or credit score requirements. FHA will allow a home purchase 2 years after a Bankruptcy. FHA will allow a home purchase 3 years after a Foreclosure.  Easier Debt Ratio & Job Requirement Guidelines such as: Higher Debt Ratio’s than other home loan programs. Less than two years on the job is allowed. Self-Employed individuals o.k.

FHA refinancing offers benefits for current Florida real estate home owners who are seeking to complete a refinance mortgage of their existing real estate mortgage. A Florida FHA home loan refinance may also benefit you even if you do not currently have a FHA loan.

Some advantages of using a FHA mortgage for your mortgage refinance are as follows:

 Cash-Out Refinance up to 95% for existing or new FHA mortgages.

·  Cash-Out up to 95% of your properties value.

·  Consolidate first and second mortgages into single loan.

·  Bill consolidation programs.

·  Easier credit and income qualifications.

·  FHA regulated closing costs.

 Rate and Term Mortgage Refinancing up to 97% of your homes value.

·  Consolidate first and second mortgages  into a single loan.

·  No FICO score or credit score requirements

·  Competitive rates for borrowers with a Bankruptcy older than 2 years.

·  Competitive rates for borrowers with a Foreclosure older than 3 years.

·  Easier credit and income qualifications.

·  FHA regulated closing costs.

 FHA Streamline Refinance for existing FHA loans only.

·  No Cost Interest Rate Reductions programs.

·  No Income or Credit Qualifications.

·  Zero cost refinance options available.

·  Easily switch amortization for adjustable to fixed or vice versa.

·  Easily shorten or lengthen term of your existing loan.

·  Easier credit and income qualifications.

 FHA Secure Refinance with current mortgage lates.

·  Refinance your mortgage at competitive rates even if you have a mortgage late on your credit that is directly due to adjusting mortgage.

·  Qualify for refinance even if currently in foreclosure.

·  Complete details of FHA Secure loan.

By: FHA home loan Lender