Homeowners with Federal Housing Administration or VA loans are saving big bucks by refinancing with streamline loans.
"You don't have to have an appraisal in most situations," said Rodney Anderson, of Supreme Lending. "So even if the value of your property's gone down, you can still streamline refinance your loan in most situations.
Becky Rodriguez used a streamline loan to slash her monthly mortgage payment. Her rate went from 7.25 percent to 5 percent. She said she will save $342 a month.
The savings mean Rodriguez, a single mom, doesn't have to cut back on providing for her two daughters.
"It makes things easier in terms of the girls don't have to have budget cuts in their activities and things of that nature," she said.
In order to qualify for a streamline loan, Anderson said homeowners must:
- Have an FHA or VA loan
- Be employed
- Have a credit score of at least 620
- Have made their last 12 mortgage payments on time
For more information on streamline loans, visit: http://www.fha-home-loans.com/streamline_fha_loans.htm, www.rodneyanderson.com