FHA Streamline Refinance Program

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Talk to us about FHA streamline refinance rates

The FHA rate we offer you may be higher or lower than rates you see advertised online. Current market conditions, your income and personal credit, and the amount borrowed may have an impact on the rate you receive. Ask us today about the competitive FHA streamline refinance rate you might get from Freedom Mortgage.

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What is an FHA streamline refinance?

If you’re a homeowner with an FHA loan, a streamline refinance is an easy way to take advantage of lower interest rates. The streamline program lets you replace your current FHA loan with a new FHA loan that has a better rate. It features less paperwork and faster closing too. You can get approved for FHA refinancing at Freedom Mortgage with easy credit qualifications.

Use our helpful home refinance calculator to estimate how much you might save with a lower interest rate. By refinancing, the total finance charges you pay may be higher over the life of the loan.

*Freedom Mortgage is proud to be a top FHA Lender in the United States according to Inside Mortgage Finance, Jan-Jun 2022.

Lower rates

Better terms

Less paperwork

Faster closings

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How much can you save?

Find out how much you might save by refinancing your home to a lower rate. By refinancing, the total finance charges you pay may be higher over the life of the loan. Change the default values to personalize your savings estimate!

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original loan amount

term (years)

years paid

Loan Term in Years

Origination Charge

Ballon Payment

Home Value

Years in Home Before Sale

Property Tax

Homeowners Insurance

current interest rate

new interest rate

closing costs

This calculator is made available as a self-help tool for your personal use. We do not guarantee its accuracy or applicability to your individual circumstances. Resulting calculations are for illustrative and informational purposes only and are not intended as investment or financial advice. Consult a qualified financial advisor before making important personal finance decisions. To get a better understanding of the benefits of refinancing, speak with a loan advisor at Freedom Mortgage.

Refinancing might save you
$250 a month

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Talk to us about FHA streamline refinance rates

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Is FHA streamline refinancing right for you?

Our friendly loan advisors are available to help you decide if an FHA streamline refinance makes sense for you. Freedom Mortgage also offers conventional, VA, and USDA refinance loans. Take a look at our loan comparison below to learn more.

FHA Streamline Refinances

Only FHA loans are eligible
Application requires less paperwork
Easy credit qualification
Mortgage insurance required
Closing takes less than 30 days

Conventional Refinances

All loans are eligible
Application requires more paperwork
Mortgage insurance required with home equity less than 20%
Closing takes more than 30 days

Learn More

VA IRRRL (Streamline) Refinances

Only VA loans are eligible
Application requires less paperwork
Easy credit qualification
Mortgage insurance not required
Closing takes less than 30 days

Learn More

Refinance & Remove PMI

Requires 20% home equity to remove mortgage insurance from conventional loans
FHA loans refinance into conventional loans
Application requires more paperwork
Closing takes more than 30 days

Learn More

Looking for more detail?

Our full loan comparison table can help you decide.

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FHA streamline refinance fees and requirements

Streamline refinancing guidelines are set by U.S. Department of Housing and Urban Development (HUD) and can be easier to meet than those for conventional mortgage refinances. Here’s what you’ll need to know if you’re considering an FHA streamline refinance.

Documentation

FHA streamline refinancing is sometimes called a “low-doc” refinance because it requires less paperwork than other types of mortgages. You won’t need to get a home appraisal or provide documentation for income verification or credit.

Easy credit check

We will probably check your credit score before we approve your refinance. FHA streamline refinancing at Freedom Mortgage comes with easy credit qualifications. Learn about FHA loan credit scores

Up-front mortgage insurance premium (UFMIP)

Most newer FHA homeowners will pay a one-time UFMIP of 1.75% of the loan amount at closing. HUD rules do not allow you to add this cost to your loan amount. You have to pay it at closing. Some lenders may pay the UFMIP on FHA streamline refinances in return for charging a higher interest rate.

Annual mortgage insurance premium

You’ll also need to pay annual mortgage insurance premiums (MIP) which cost between 0.45% and 1.05% of the loan amount for most newer FHA homebuyers. MIP can be included in your monthly mortgage payment.Learn about MIP and PMI

Average closing costs

The closing costs for FHA streamline refinancing are usually between 2% and 5% of the loan amount according to the Mortgage Reports website. FHA closing costs can include lender fees, discount points, and more.Learn about FHA closing costs

Loan disclosures and closing

After submitting your FHA streamline application, you will need to review and sign loan disclosures and attend the closing for your new loan. Freedom Mortgage can often close an FHA streamline refinance in 30 days or less.Learn about loan disclosures

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Frequently Asked Questions

What is an FHA streamline refinance?

An FHA streamline refinance allows you to replace your current FHA loan with a new FHA loan that has a lower interest rate. FHA streamline refinancing may also help you get better terms on your mortgage or a lower monthly payment. FHA streamline refinances come with less paperwork and a faster closing compared to other types of refinances.

Is an FHA streamline refinance worthwhile?

You can use the streamline program to help you reduce your monthly payments. When you do this, you take advantage of the lower interest payments that come with a lower rate to pay less each month. This option is less likely to help you save money in interest but does put more money in your budget to pay other bills and expenses.

How much you might save on interest by lowering your rate depends on your current rate, the new FHA rate you might get, how much you owe on your FHA mortgage, how much you pay in closing costs, and other factors. Keeping your monthly payment the same can help you pay off your mortgage faster and save money in interest over the life of the loan. That’s because you are taking the money you save on interest by streamline refinancing and using it to pay down your FHA loan’s principal balance. Keep in mind by refinancing, the total finance charges you pay may be higher over the life of the loan.

What are the benefits of an FHA streamline refinance?

Lower rates. A lower rate can help reduce your monthly payment or save money in interest over the life of the loan.
Better terms. These terms can include shortening the life of the loan or switching to a fixed-rate mortgage.
No home appraisal. You won’t need a new appraisal to estimate the current value of your home, saving you time and the appraisal fee.
No income verification. You won’t need to send us documentation of your current income.
Fewer limits. There are no income limits and no maximum loan-to-value ratios.
Faster closing. The reduced requirements of FHA streamlines cut down on the time it takes to refinance, so you’ll experience a quick and easy closing.

Does streamline refinancing get rid of FHA mortgage insurance?

No. An FHA streamline refinance does not get rid of the mortgage insurance premiums that come with FHA loans. You’ll pay the FHA’s upfront and annual mortgage insurance premiums with the streamline program. If the value of your home’s equity is 20% or more, you may be able to refinance from an FHA to a conventional loan and avoid paying for mortgage insurance.

Can I get cash from FHA refinancing?

You can only get cash out from refinancing an FHA loan via an FHA cash out refinance. An FHA streamline refinance will not allow you to get cash when refinancing.

What are the requirements for an FHA streamline refinance?

You get a financial benefit from refinancing. HUD rules require that you receive a net tangible benefit from FHA streamline refinancing. This benefit usually requires a reduction in your rate or term.
You currently have an FHA loan. To be eligible for streamline refinancing, you need to replace an existing FHA loan with a new FHA loan.
You meet “seasoning” requirements. This means at least six months have passed since your first payment due on your current FHA loan and at least 210 days have passed since the closing date.
You’ve made your loan payments on time. You need to have made your last six mortgage payments on time to be eligible for FHA streamline refinancing.
You're taking little cash out. You can’t take more than $500 from your mortgage with an FHA streamline refinance.

The Freedom Mortgage Difference

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We’ll help you choose the right mortgage and work with you to make buying a home or refinancing easy. We'll also keep an eye on your rate and let you know when you can lower your payment or get cash from your home's equity.

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