With the sharp decline in housing pricing recently, the majority of homeowners who purchased after 2004 find themselves in 3 categories

 

There is hope to refinance to a low fixed interest rate through FHA, VA and Fannie Mae

 

For homeowners with Little or No Equity. FHA and VA are viable options. If you are current or former military, it is likely that VA will be the best option for you. VA will allow up to 100% financing on rate reduction refinances and 90% financing to take cashout. VA interest rates will be inline with conforming interest rates.

 

If you do not have VA eligibility, you can take a look at FHA. FHA allows for 97.75% financing on rate/term refinances and 85% for cash out. FHA allows loan amounts up to $729,750 in high cost areas. FHA interest rates are often better than traditional conforming interest rates.

 

If you have a current Fannie Mae or Freddie Mac loan, you may be eligible to refinance up to 125% of the appraised value of your home. Even if you are not upside down, but have limited equity, this is the program for you. It requires no mortgage insurance regardless of your loan to value

 

Click here to request more information on any of these programs, or to just ask a question.