FHA Secure Loan Program
The FHA Secure Loan Program started mid-2007 as an additional option for FHA mortgage refinancing. The program is exclusively for homeowner experiencing difficulty with a mortgage resulting in a default. It also applies to owners of residences with adjusted subprime loans.
Who qualifies for an FHA Secure Refinance Program?
- Homeowners presently behind a mortgage payment
- Homeowners who’ve fallen into a default or foreclosure due to hiked rate
- Homeowners with little or no equity in the home
An FHA Secure Loan gives you an option to renegotiate an existing mortgage to a more affordable rate. It doesn’t matter if you’ve been turned down be a lender.
FHA Secure Refinance Guidelines
The FHA secure program requires that owners meet these criteria:
- at least three percent equity on home value.
- a credit history of regular mortgage payments prior to the loan adjustment
- regular employment in the past two years
- enough income to pay for a new FHA Secure loan
- New refinancing should not exceed current limits of the FHA.
Unlike traditional FHA mortgage loans, the new FHA secure loans program do not include pre-payment penalties. Applicants will be required to submit to an escrow account property taxes and insurance including the Mortgage Insurance Premium for the new mortgage payment.
See other Texas FHA loans that apply to you.
