Targeting FHA Streamline
April 27 2012 by Troy Blackman
FHA Streamline has been around a while. What makes it more relevant is after June 11, 2012 discounts on upfront mortgage insurance premium (MIP) will save consumers with an FHA loan quite a bit of money. In reading Dan Green’s blog about FHA streamline he did a great job of defining the eligibility and qualifications, which is his job. My job is to help you target those consumers. If your company owns or services the loan then all of this information is at hand and you are in the best place to get the streamline done and secure your customer. For everyone else, companies with mortgage data like Altair will help you target. Dan’s blog had the criteria, which is straight forward.
- Perfect, 12-Month Payment History Required
- 210-Day “Waiting Period” Between Refinances
- Employment And Income Are Not Verified
- Credit Scores Are Not Verified
- The Refinance Must Have “Purpose”
- Loan Balances May Not Increase To Cover Loan Costs
- Appraisals Not Required
The key right now is if the loan was endorsed prior to June 1, 2009 the upfront MIP is 0.01% or 1 basis point compared to the standard 1.75% or 175 basis points. On a $100,000 loan the upfront MIP is $1 vs the standard $1,750.
For loans endorsed after June 1, 2009 and but not within the last 210 days the upfront MIP will be 1.75%. While the rate is higher certain homeowners will be eligible for a credit for upfront MIP previously paid.
Nationwide Altair has over 1.6MM FHA loans prior to June 2009 and 1.8MM FHA loans post June 2009. To see a full breakdown by state and LTV contact me email@example.com.