- Home Mortgage Refinance
- Bad Credit Refinance Mortgage
- Second Mortgage
- Obama's 2% Refinance Plan
- Cash Out Mortgage Refinance
- No Doc Mortgage Refinance
- Home Equity Line Of Credit
- FHA Refinance Loan
- Modify Mortgage
- Mortgage Modification
- HARP 2.0
- Home Affordable Refinance Program
- Obama Housing Plan 2012
- Military Homeowners Assistance Program
- Adjustable Rate Mortgage
- Fixed Rate Mortgage
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- USDA Mortgage Refinance Program
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Learn How to Qualify For A USDA Refinance Online
What Is USDA Refinancing?
The plan is a pilot project which will allow borrowers, who have lost all home equity, to refinance at lower interest rates and flexible terms. However, to get benefited with this USDA refinance schedule, probable applicants need to be current on their existing monthly mortgage payments for the past 12 months and must already have a USDA rural development guaranteed mortgage loan or direct loan.
It is estimated that 25,000 homemakers in Michigan will be eligible for USDA refinance program benefits. Therefore, those who have low or moderate incomes and own homes in rural Michigan may check their eligibility for the federal government’s plan of action. Borrowers who are able to meet the USDA refinance guidelines can access the low mortgage rates and hence, reduce monthly payments significantly.
Get Benefited With Low USDA Refinance Rates Today
For homeowners with high interest USDA mortgages, getting a low rate home refinance loan can be a viable option. However, borrowers have to satisfy few basic requirements before they proceed with the actual USDA refinance process. Some of these conditions are mentioned below.
- Existing mortgage must be either guaranteed or direct USDA loan
- Only those loans which are current can be refinanced with USDA
- Refinancing must result in lower principal and interest payments
- No cash can be drawn from refinanced USDA home mortgage loans
Finance Up To 102% Of Your Home’s Appraised Value
With USDA loan refinancing, it is possible to carry out improvements in your home. As per rules and regulations that apply to the procedure, if you are eligible, you can obtain financing up to 102% of your home’s appraised value.
Take Advantage Of A Streamlined FHA Refinance Procedure
The entire process for getting a USDA home loan refinance is totally streamlined. Applicants just need to provide a little bit of information and some minimum documentation along with their applications. With less paperwork, no property inspection and fewer forms to fill, lot of time will get saved.
The USDA Mortgage Refinancing Program –Important Features
The USDA rural housing refinance pilot program has following features
- No credit verification needed
- No new home appraisal required
- No inspection of property needed
- No cash out option will be provided
- No Loan-To-Value (LTV) ratio restrictions
- Only federally guaranteed loans will qualify
- 0.3 % annual fee rolled in monthly payment
- Refinancing fees can be rolled into loan amount
Some Basic USDA Refinance Eligibility Criteria
To qualify for a USDA streamline mortgage refinance loan, underwater homeowner must be:
- Primary resident in the home which is to be refinanced
- Current on monthly installments for the past 12 months
- Having home in one of the hardest hit states that are listed
Streamlined USDA Home Refinance Program - Limitations
Although the USDA rural housing streamline refinance plan totally lenient qualification standards, there are certain limitations associated with it. Some of these are as follows:
- Government will charge upfront refinancing loan as well as annual guarantee fees
- If homes are located in flood zones, flood insurance for such USDA loans is necessary
- Under the program only 30 year loan terms could be available, 15 or 20 year loans not allowed
- Plan can be used only if new interest rate is at least 1% lesser than the current rate of interest
- Eligible borrowers can secure changes in rates and terms only, no cash out services are available