FHA and subordinate financing

FHA will allow you to refinance up to 97.75% of the value of your home when just refinancing the balance of your loan plus closing costs and prepaids.  FHA will also allow you to pull cash out of the value of your home up to 95% of the value of your home.  FHA will also allow you to go above 100% combined loan to value “CLTV” when refinancing your loan, this is one of the changes that FHA has come out with.  Let me explain what this means.   If you have a first loan and a 2nd loan, 1st loan for 100k and the 2nd loan for 50k and the value of your home is only 145k obviously there isn’t enough value to refinance both loans into one loan.   What they will allow you do to “(2nd mortgage company permitting and 99% of the time they will)” is to only refinance the 1st loan for 100k and leave the 2nd mortgage in place.    As long as your Debt To Income DTI, job time and credit profile are in place you should be fine with this time of scenario and should qualify for a refinance into nice interest rate, fixed rate mortgage.  Call for details or to get a FREE evaluation.   We might even be able to lower your payment and take years off your loan.