VA Streamline Loan
What is a VA Streamline Loan?
VA Streamline refinancing was introduced as a way to speed up the home refinancing process. By reusing the original loan’s paperwork the process to refinance a home was reduced from a few months to only a few weeks. Streamline refinancing has become more popular because reuse of the original home’s appraisal may be the only way someone underwater on the property can refinance it at all.
To decide if you qualify for a VA STREAMLINE Mortgage Loan, we will look at:
- Your credit history (this is important, but VA STREAMLINE credit standards are flexible). Your overall pattern rather than to individual problems you may have had.
Your credit background will be fairly considered. At least a 580 FICO credit score is generally required to obtain a VA STREAMLINE approval.
The interest rate for your home loan will be determined by the type of loan program that you qualify for and your credit score. You might be asking yourself what the formula to calculate interest rates is. Interest rates are driven off of Mortgage Backed Securities (MBS) which are commonly referred to “mortgage bonds”. These values of these bonds determine whether the interest rates rise or fall. Your final rate will determine your payment using the standard calculate mortgage payment formula. Please contact me to see what is today’s lending mortgage rate.
While VA STREAMLINE Mortgage Guidelines allow you to purchase warrantable condos, planned unit developments, modular homes, and 1-4 family residences. VA STREAMLINE Loans can be used to finance primary residences only.
Criteria for VA STREAMLINE loan approvals state that if you have been discharged from a Chapter 7 bankruptcy for two years or more, you are eligible to apply for an VA STREAMLINE mortgage. If you have had a Chapter 13 bankruptcy, it must be documented that the credit reputation has been re-established for at least one year to be eligible for a VA STREAMLINE Loan Application.
The maximum amount for a VA Streamline loans is the principle balance of your existing mortgage plus any costs needed to close.
Because there is no appraisal requirement you can borrower as much as you owe on your existing mortgage plus closing costs.
If you’re not sure if you qualify for a VA STREAMLINE loan, you can contact me for live, customized VA STREAMLINE loan quote by completing the online application or by calling me at 843-375-6611