How Do You Qualify for an FHA Streamline Loan?

You will need to qualify for an FHA streamline loan based on your financial capabilities and the state of your existing FHA loan. Financially, you must show you are eligible for a refinancing opportunity. This can occur if interest rates have dropped substantially since you took your FHA loan, and you wish to capitalize on this more favorable market. You may also qualify if you have a change in your ability to pay, and you wish to lower your monthly payments in order to make your loan more affordable. When you apply, your loan must be current, you must be seeking a reduction in monthly payments, and you must not seek to take cash out of your mortgage as a result of the refinancing option.