FHA Streamline Refinances in San Diego

FHA Streamline Refinances in San Diego have become even easier and more attractive for those homeowners who originally took out their FHA loan prior to June 1st, 2009. New guidelines have gone in effect for those FHA homeowners to allow them to complete a San Diego FHA Streamline at incredibly low rates, almost no up-front mortgage insurance premium (.01%), and an annual mortgage insurance premium of .55%, which is equal to what it was in 2009.

Before the new guidelines were released it was getting more and more difficult for homeowners with FHA financing to refinance using the San Diego FHA Streamline Refinance Program. This is due to the fact that FHA requires a San Diego Mortgage Broker to obtain a 5% savings from the old mortgage and mortgage insurance payment to the new mortgage and mortgage insurance payment. With rates as low as they are, this would normally not be a problem, but FHA has continued to increase their up-front and annual mortgage insurance premium over the last few years.

In 2009 the annual mortgage insurance was only .55%. On new FHA loans that do not qualify for the new San Diego FHA Streamline Refinance, it has been raised to 1.25%. The increase in mortgage insurance premiums diminishes the savings the client would get from the lower interest rate and therefore does not meet the 5% savings requirement. The new guidelines will allow those San Diego FHA Streamline borrowers with loans before June 1st, 2009 to save the required 5% per month and take advantage of the current low interest rates.

I just closed a San Diego FHA Streamline Refinance for a client yesterday under the new guidelines. I secured him a rate 0f 3.464% at 0 points, 3.875% APR and saved him $395 per month on a $330,000 loan. At this rate I was able to pay all his closing costs, up-front mortgage insurance, and his taxes and insurance to start his new impound account.

I have another FHA Streamline Refinance in San Diego that I am working on where the client has a $680,000 loan amount and an interest rate of 5.25%. I will be saving them over a thousand dollars a month and they will not have to pay any closing costs with the new San Diego FHA Streamline Refinance.

I you would like to get a quote of your own on this new San Diego FHA Streamline Refinance program please give me a call. I am a San Diego Mortgage Broker with over 10 years experience in FHA and am willing to answer any questions you may have.

 

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