topic Re: FHA Refinance in Mortgage Loans

FHA Refinance

lsain920 — Thu, 01 May 2008 21:32:11 GMT

Hello, so i have my mortgage with chase at 6.875% have had it for about 2 years and out of the blue i get a call from my Mortgage Broker @ Chase telling me the interest rates have dropped and i can refi w/no credit check, no income verification, no closing cost just my word and an application fee. Has anyone heard of this? IS there something hidden that going to attack me in a week or so??? How does this work?

Re: FHA Refinance

tpere925 — Fri, 02 May 2008 03:14:03 GMT

I would call Chase and ask them about this. My brother too recieved calls saying the same thing. I told him to not give ANY personal information over the phone and to call his local bank. Sounds too fishy to trust! Besides, how could somone look to give you a lower rate when perhaps your credit stinks, mabey you lost your job, and what is the broker getting out of it if there is no fee? Hmmmm.

Re: FHA Refinance

DallasLoanGuy — Fri, 02 May 2008 03:32:41 GMT

Is your loan an FHA loan?

If so, then it is an FHA StreamLine REFI.

They already know your mortgage history.... and to qualify for the FHA Streamline Refi, you only need to get a "Mortgage Only Credit Report". No closing costs? You need to ask questions.... and see if they aren't really rolling costs into the loan. (and remember.... if they lie, you can walk away from the deal at the closing table and stay at the old terms)

Interesting that they would 'churn' loans within their own servicing.

Tell them to send you a GFE

Re: FHA Refinance

ShanetheMortgageMan — Fri, 02 May 2008 08:27:08 GMT

Many times the same lender you already have will call you asking if you want to go into a new loan as they don't want to lose you to refinancing with someone else. My MIL has her loan with WaMu which is a 5-year ARM and they called her up out of the blue offering if she'd like to roll it into a 30-year fixed at the same interest rate - they did a promotional inquiry on her credit so it was a soft pull, and they didn't need to reverify any income docs either. Just sent her a modification form with the new terms and an invoice for $500 if she went along with the new loan.

Re: FHA Refinance

lsain920 — Fri, 02 May 2008 13:42:35 GMT

Thank you all, yes i do have an FHA loan and yes i did call and it was my same mortgage broker that called. She said because i'm already with FHA i really don't have to do anything no credit check no income verification she just checked to see how my payment record with Chase was and said it's a go. i will close on the 19th. I don't even have to go to a title co just go up to any local chase bank and sign the dotted line. I am keeping the same terms just lowering my interest rate.. Pretty cool huh?? Also there is a 300 app fee but its well worth it because not only are my payments going to drop like 50 to 75 dollars a month but i also get to skip a payment so my next mortage wouldn't be due until 7/01/08 how cool is that!!!! I'm sooo stoked!!!!

Re: FHA Refinance

ShanetheMortgageMan — Fri, 02 May 2008 15:18:48 GMT

Yup, Tom is right, you have an FHA streamline refinance, and that's exactly how it works.

Re: FHA Refinance

lsain920 — Wed, 07 May 2008 11:57:01 GMT

Ok so i recevied my paperwork from Chase this evening and i am really disapointed as there are no fees for me to pay upfront out of pocket but in the end i am paying these fees, they are rolling them into my mortgage and that is something i am not happy about. Granted there are still perks to this, i do not have to pay my mortgage until July and i also lowered my mortgage 60 or so bucks.. What would you do, just let it all happen and keep going through the refi or just stop it and say that's ok you really didn't disclose all the information to me!!! Keep in mind that i did pay an application fee and i can't recover that, so i really need your advise, please help!!!

Re: FHA Refinance

Anonymous — Wed, 07 May 2008 13:10:44 GMT

Is this FHA StreamLine process something you can do only if you are with FHA already?

I have a 2/28 ARM with Wells Fargo that I need to ditch. I am strongly considering refi with Navy Federal.

Re: FHA Refinance

DallasLoanGuy — Wed, 07 May 2008 13:28:04 GMT

lsain920 wrote:
Ok so i recevied my paperwork from Chase this evening and i am really disapointed as there are no fees for me to pay upfront out of pocket but in the end i am paying these fees, they are rolling them into my mortgage and that is something i am not happy about. Granted there are still perks to this, i do not have to pay my mortgage until July and i also lowered my mortgage 60 or so bucks.. What would you do, just let it all happen and keep going through the refi or just stop it and say that's ok you really didn't disclose all the information to me!!! Keep in mind that i did pay an application fee and i can't recover that, so i really need your advise, please help!!!

you can have them change the gfe to suit YOU.

a good option would be to pay the fees out of pocket.... since you are skiping a payment,