Comments on: FHA Streamline Refinance Changes Effective 1/1/2010 http://ncfhaexpert.com/fha/fha-streamline-refinance-changes-effective-112010/ Helping NC's Home Buyers! Mon, 16 Jan 2012 17:54:57 +0000 hourly 1 By: Eleanor http://ncfhaexpert.com/fha/fha-streamline-refinance-changes-effective-112010/comment-page-1/#comment-9146 Eleanor Tue, 20 Apr 2010 15:20:58 +0000 http://ncfhaexpert.com/?p=207#comment-9146 What I said was that you can no longer Streamline to go from a 30 to 15 year term. You can still refinance - and there must be a net tanigible benefit to the borrower, but it is not eligible for a streamline (basically no qualifying) loan. Hope that helps! What I said was that you can no longer Streamline to go from a 30 to 15 year term. You can still refinance – and there must be a net tanigible benefit to the borrower, but it is not eligible for a streamline (basically no qualifying) loan. Hope that helps!

]]> By: Tom Schulz http://ncfhaexpert.com/fha/fha-streamline-refinance-changes-effective-112010/comment-page-1/#comment-9145 Tom Schulz Tue, 20 Apr 2010 10:47:48 +0000 http://ncfhaexpert.com/?p=207#comment-9145 In your 3rd paragraph, you state that a reduction in term is no longer available for a streamline refi but your 4th bullet point states that it is. Which is correct? I spoke with FHA yesterday and couldn't get a straight answer and both of our DE underwriters have oposite opinions. In the FHA mortgagee 2009-32, one of the specific qualifications for the streamline refi is a net tangible benefit which include a reduction in term. My interpretation is that you can do a reduction in term loan WITHOUT an appraisal but you must underwrite the file "like" a normal R/T refi. Meaning - You must full credit qualify the borrower to ensure they can afford the new payment but can avoid the appraisal and use the original value. You thoughts? In your 3rd paragraph, you state that a reduction in term is no longer available for a streamline refi but your 4th bullet point states that it is. Which is correct? I spoke with FHA yesterday and couldn’t get a straight answer and both of our DE underwriters have oposite opinions.

In the FHA mortgagee 2009-32, one of the specific qualifications for the streamline refi is a net tangible benefit which include a reduction in term. My interpretation is that you can do a reduction in term loan WITHOUT an appraisal but you must underwrite the file “like” a normal R/T refi. Meaning – You must full credit qualify the borrower to ensure they can afford the new payment but can avoid the appraisal and use the original value.

You thoughts?

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