FHA Opens Cash Out Refi To Homeowners In A Big Way
If you currently hold a mortgage from any bank, you’re about to hear some mind-boggling news. The much-discussed FHA home loan program, an initiative of the Federal Housing Administration, has opened its refinancing program to all American homeowners. Now all mortgage-holders can refinance into lower interest rates, regardless of whether or not their original mortgage was an FHA loan. This is a remarkable program, one that has shaved hundreds of dollars off of monthly mortgage payments, and permitted thousands of dollars in cash distribution to pay for big expenses. So what does this mean?
Local bank said no? You’re not out of luck.
Here’s the truth: not all banks participate in the FHA loan program. So if your recent refinance application was declined, that doesn’t mean that you can’t still qualify for an FHA loan. Only certain lenders participate in this special program, so you have to know where to look. Luckily for you, we’ve done the legwork. LendingTree has assembled some of the nation’s most respected lenders to compete for your business. Check out their blazing fast application process today to receive multiple FHA refinance offers, all at no cost or obligation to continue.
Higher debt-to-income ratio allowed.
A typical Big Bank mortgage limits a applicant’s debt-to-income ratio to 43%. Not so with an FHA loan. For homeowners who have fallen on tough time during the course of their repayment, that meant that refinancing wasn’t possible. But not anymore. The 43% debt-to-income cap has been lifted, empowering thousands of Americans to refinance their mortgages and save thousands of dollars in interest.
Refinance up to 97.75% of your home’s value.
Refinancing through the FHA loan program can mean so much more than just lowering the interest rate on the remainder of your mortgage. Regardless of how much you’ve already paid, the FHA allows you to refinance up to 97.5% of the current value of your home. What does that mean for those who have already paid off a significant portion of their mortgage? You can either savor your sweet savings, or take advantage of your investment in one jaw-dropping way...
Cash out big time--up to 85% of your loan value.
You’ve invested a lot into your home. While others were forking over their hard-earned dollars to a landlord, you took a smarter path. Now, guess what? You have the upper hand. All that money you’ve poured into your monthly mortgage payments hasn’t disappeared. It can actually pay you back. Up to 85% of the value of your loan can be cashed out to help pay for the things you need most. Here are a few of the most common uses:
Consolidate those credit cards.
Currently paying high interest rates on department store or Big Bank credit cards? Some savvy FHA loan holders have taken advantage of their shockingly low interest rates to pay off their credit card balances, squashing their crazy high interest rates with one even crazier: insanely low.
It’s tool time: make a home improvement.
Been putting that bathroom remodel off for longer than you can remember? FHA Streamline can even unlock funds for your dream home improvement project. Improve the value of your home, while living in it, without it costing you an arm and a leg? Now that’s a win-win situation.
Get a new ride or pay off your current loan.
Unpredictable cars are no way to start your day. Upgrade your clunker by using the cash you’ve invested in your home. Already purchased a new or used car? You may be able to pay off your current car loan. See ya, bad car days.
Pay for college.
Let’s face it: a degree is an investment with almost guaranteed returns. But securing the funds to pay for one is no easy task. Until now. Would 85% of the value of your home help out? Yep, we thought so. You can use the value of your home to pay for educational expenses, whether they be for yourself or your child. Are those graduation bells I hear?
Shocked by that low interest rate? Thank Uncle Sam.
If you’re like most, the low interest rates available through the FHA loan program seem too good to be true. And there’s a reason for that. The US government backs FHA loans, reducing the risk to lenders, and essentially setting the low rates for customers like you. In other words, your tax dollars allow for these crazy low interest rates to exist. Now it’s up to you to take advantage of them! Check the program today before it’s too late.
Here's How You Do It:
Step 2: Once you go through a few questions, you will have the opportunity to compare the quotes from multiple lenders!