Refinance Madison.com

So you've heard your neighbors talking about it. "I refinanced my home and paid all my credit cards!" The chances are you like most Americans have $5,000, $10,000 or even $20,000 in outstanding credit card debt that you are struggling to pay just the minimum payments on. Refinancing to consolidate your debt is a great way to get a fresh start. It's like making your home work for you! First you figure out how much you're paying in monthly payments on your cards. Then you figure out your monthly payment on your house. Then you call us! Within 24 hours you'll find out how much you could be saving by making your house work for you. The best part, interest paid on your home is a tax deduction!

One of the Federal Housing Administration's goals of making home owning a possibility does not end with FHA loans. Another great service provided by the FHA is Streamline Refinancing. Streamline Refinances are great ways to reduce interest rates and lower monthly payments on existing FHA mortgages. They are termed "streamlined" because the relative lack of hassle or paperwork to be done to acquire such refinancing. Other benefits of choosing a Streamline Refinance is that appraisals, credit checks, income verification, or employment verification are usually not required.

It is very easy to increase or decrease the length of the term of the existing loan and the out-of-pocket costs are minimal, and possibly zero. There are two types of a Madison Streamline Refinancing:
> 1. The refinance can include the closing costs into the new mortgage loan, which can happen if the property has sufficient equity, which requires appraisal. This option offers the best rate.
> 2. The "no-cost" refinance offers no expenses or cost to the borrower. This refinancing requires no appraisal, and the new loan amount cannot exceed what is currently owed. The lender pays the closing cost. No appraisal is needed for investment properties in which the borrower does not reside. Keep in mind, the existing loan must be FHA insured, current, and in good standing. Six months must have passed since the original loan was taken out before a Streamline Refinance can occur.

The basic requirements of a streamline refinance are:
> a. The mortgage to be refinanced must already be FHA insured.
> b. The mortgage to be refinanced should be current (not delinquent).
> c. The refinance is to result in a lowering of the borrower's monthly principal and interest payments.
> d. No cash may be taken out on mortgages refinanced using the streamline refinance process.

Wisconsin companies may offer streamline refinances and include the closing costs into the new mortgage amount. This can only be done if there is sufficient equity in the property, as determined by an appraisal.