Refinance
Refinance loan programs allow borrowers to replace their existing mortgage with a new loan that has more favorable terms. Here are some common refinance loan programs:
Refinance Loan Programs
Conventional (Fannie Mae & Freddie Mac) Loans
Rate and Term Refinance
- Up to 97% LTV (Loan-to-Value)
- 620 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- Monthly Mortgage Insurance
- No Monthly Mortgage Insurance at 80% or Lower LTV
- Automatically Cancels at 78% LTV
- $766,550 Maximum Loan Amount
Cash-Out Refinance
- Up to 80% LTV (Loan-to-Value)
- 620 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- No Mortgage Insurance
- $766,550 Maximum Loan Amount
FHA (Federal Housing Administration) Loans
Rate and Term Refinance
- Up to 96.50% LTV (Loan-to-Value)
- 580 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- 1.75% Upfront Mortgage Insurance Premium
- Financed into Loan Amount
- 0.55% Monthly Mortgage Insurance
- Remains for Life of Loan (if LTV is > 90%)
- $498,257 Maximum Loan Amount (Jefferson County)
Streamline Refinance
- Existing FHA Mortgage Required
- 580 Minimum Credit Score
- No Income or Appraisal Needed
- Loan Terms from 10 to 30 Years
- 1.75% Upfront Mortgage Insurance Premium
- Financed into Loan Amount
- 0.55% Monthly Mortgage Insurance
- Remains for Life of Loan (if LTV is > 90%)
- $498,257 Maximum Loan Amount (Jefferson County)
Cash-Out Refinance
- Up to 80.00% LTV (Loan-to-Value)
- 580 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- 1.75% Upfront Mortgage Insurance Premium
- Financed into Loan Amount
- 0.80% Monthly Mortgage Insurance
- Remains on Loan for 11 Years
- $498,257 Maximum Loan Amount (Jefferson County)
VA (Veterans Affairs) Loans
Interest Rate Reduction Refinance Loan (IRRRL)
- Existing VA Mortgage Required
- 580 Minimum Credit Score
- No Income or Appraisal Needed
- Loan Terms from 10 to 30 Years
- 0.50% Funding Fee
- Financed into Loan Amount
- No Mortgage Insurance
- No Maximum Loan Amount
Rate and Term or Cash-Out Refinance
- Up to 100% LTV (Loan-to-Value)
- 580 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- 2.30% Funding Fee (First-Time Use)
- Financed into Loan Amount
- 3.60% Funding Fee (After First Use)
- No Mortgage Insurance
- No Maximum Loan Amount
Jumbo Loans
Rate and Term Refinance
- Up to 90% LTV (Loan-to-Value)
- 680 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- No Mortgage Insurance Option
- Loan Amounts Over $766,550
Cash-Out Refinance
- Up to 90% LTV (Loan-to-Value)
- 680 Minimum Credit Score
- Loan Terms from 10 to 30 Years
- No Mortgage Insurance Option
- Loan Amounts Over $766,550
USDA (Rural Development) Loans
Streamlined Assist Refinance
- Up to 100% LTV (Loan-to-Value)
- 640 Minimum Credit Score
- No Appraisal Needed
- 1.00% Upfront Mortgage Insurance Premium
- Financed into Loan Amount
- 0.35% Monthly Mortgage Insurance
- Remains for Life of Loan
When considering a refinance loan program, it's important to research and compare the terms and costs of each option, and to use a mortgage calculator to estimate the potential savings. It's also important to speak to a qualified lending professional to determine which refinance loan program is best suited to meet the borrower's financial goals and needs.