WHAT IS FHASecure? FHASecure is a refinancing option that gives homeowners with non-FHA adjustable rate mortgages (ARMs), current or delinquent and regardless of reset status, the ability to refinance into a FHA-insured mortgage. With FHASecure, the lender will not automatically disqualify you because you are delinquent on your loan, and the lender may offer you a second mortgage to make up the difference between the value of your property and what you owe.
And with the modifications to FHASecure, also scheduled to begin July 14, 2008, they will be able to help homeowners struggling to keep up with their high-cost subprime adjustable rate mortgages who have missed up to three monthly mortgage payments over the past 12 months.
FHA Secure is an alternative to foreclosure. Eligible borrowers will be able to refinance with the FHA and existing lenders can voluntarily write down the outstanding subprime mortgage principal balances.
Borrowers refinancing into FHA loans from the subprime market will be better off, even with slightly higher mortgage insurance premiums, because FHA insurance gives them access to substantially lower interest rates, and will lower their overall mortgage costs.
If you have an adjustable rate mortgage coming due or your interest rate is already too high, you owe it to yourself to look at the safe and affordable financing options provided by government-insured mortgages through the Federal Housing Administration (FHA).
FHA provides mortgage insurance on loans made by FHA-approved lenders and is a viable alternative to foreclosure. FHA insures mortgages on single family, multifamily, manufactured homes and healthcare facilities. It is the largest government backed mortgage insurer.
WHO IS ELIGIBLE?
At this time, prior to the July 14, 2008 changes, the rule is at follows: So long as you are current on your mortgage and have sufficient income to make the mortgage payment, you are eligible for an FHASecure refinance. If you are delinquent, the default must have been due to the payment shock of an interest rate reset or, in the case of an Option ARM, the "recasting" of the mortgage to fully amortizing.
By refinancing into a FHA-insured mortgage, you can expect to pay lower monthly mortgage payments. FHASecure can improve the quality of life for many communities by helping to reduce the number of mortgage defaults and bringing greater stability to local housing markets.
Please contact me for information regarding your specific home loan(s). I will help you analyze your position in respect to obtaining the FHASecure Loan. Judy Sellens - Judy@SellensLending.com
