If you are wondering what a streamline refinance is, this type of refinance allows homeowners to save money on their existing loans. Homeowners with an existing FHA or VA loan are already approved. Now, because this loan refinancing process is fast and easy, it was given the name 'streamlined'. With a streamline loan, all the loan agent needs is the original loan paper work. This also makes for a quick and easy 'streamline' loan process and clients have no out of pocket expenses.
The best thing about a streamline loan is lowering your interest rate and monthly payment. Now, in case you are not aware, refinance loans are only insured by the government, such as the Federal Housing Administration. When looking to refinance, the loan process is taken care of through loan agents.
When considering an FHA Streamline Refinance, homeowners must not be late on any payments within 30 days, in a 12 month year. Homeowners have to had owned their loan for 6 months prior to applying for an FHA streamline refinance.