The home mortgage refinancing world is on fire with a new program that hit the market back in September: FHA loans. Plenty of people are asking what FHA refinancing is, and how they can get one of these loans.

 
The Mortgage Loan Place states FHA loans are refinancing options for people who have solid credit ratings and making steady payments before their adjustable mortgages changed. 

The Federal Housing Association issues these loans, backing it in order for you to receive better rates from lenders. This doesn’t mean the FHA is giving you the money; it means your lender is guaranteed payment should you default on your home loan. 

What can you do with an FHA loan? Here are a few possibilities: 

• Purchase a “fixer-upper” you had your eye on. Include the costs of repairs in the loan amount so as to make repairs immediately instead of looking for ways to fund the renovations
• Purchase manufactured homes or condominiums
• Finance energy efficient repairs with your mortgage 

You need to meet certain criteria to be eligible for an FHA loan: 

• A good history of making payments on time before your loan was reset
• The date of your loan’s readjustment must fall between June 2005 and December 2009
• 3% of the loan in cash or equity in your home for downpayment
• A steady job
• Ample income to make payments 

If you meet all of the criteria, you may want to consider getting an FHA loan. Contact the Federal Housing Association for more information. 

Technorati Tags: fha loans, fha refinancing, home mortgage refinancing