HUD's FHASecure Loan Conference Call Highlights
First and foremost, the FHASecure program is simply an extension of the traditional FHA home loans with accomodations for home owners who have become delinquent to due mortgage payment resets of adjustable rate mortgages.
Here are some important items discussed.
- If property was recently listed on the MLS for sale you can still refinance as long as the MLS listing is cancelled before closing.
- You can add a non-occupant co-borrower to qualify as per traditional FHA qualifying guidelines.
- Borrowers who owe more than existing FHA loan limits may still be able to refinance if existing lender or a new lender is willing to do a subordinated second mortgage for the difference even if exceeding 100% of the loan to value.
- FHASecure program can be used to consolidate both a first mortgage and a second mortgage that was not a "purchase-money" second (which Fannie Mae / Freddie Mac consider a cash-out refinance) up to the 97% LTV but no more than current FHA loan limit.
- Borrowers who are delinquent can do FHASecure refinace to bring their loan current and finance all late fee's and payments.
- No 12 months seasoning requirements to complete a mortgage refinance.
- The upfront MIP and monthly MIP will remain the same for most likely the next three months. Next week HUD may release some new guideance for future adjustments.
- FHASecure refinance interest rates will be at current FHA market rates.
Other important upcoming items.
- If FHA loan limits are raised, the FHASecure program will also follow those limit increases.
FHA will be posting some Q & A's from the meeting today on their websites in the next few days. Remember that HUD simply insures FHA loans and FHA home loans and the new FHASecure refinance loan are originated and funded by FHA mortgage lenders.
If you are behind on your mortgage the FHASecure program maybe able to help you. You can inquire into the FHASecure program here.