There are several refinance program options available to homeowners, depending on their financial goals and circumstances. Some common refinance program options include:
- Conventional refinance: A conventional refinance is a type of mortgage refinance that is not guaranteed or insured by the government. These loans are typically offered by private lenders and can be used to lower the interest rate, change the loan term, or access home equity.
- FHA refinance: An FHA refinance is a type of government-backed refinance that is insured by the Federal Housing Administration. FHA refinancing programs can be used to lower the interest rate, change the loan term, or access home equity, and may have more flexible credit and income requirements than conventional loans.
- VA refinance: A VA refinance is a type of government-backed refinance that is guaranteed by the Department of Veterans Affairs. VA refinancing programs can be used to lower the interest rate, change the loan term, or access home equity, and are available to eligible veterans, active-duty service members, and surviving spouses.
- USDA refinance: A USDA refinance is a type of government-backed refinance that is guaranteed by the U.S. Department of Agriculture. These refinancing programs are available to eligible borrowers in rural areas and can be used to lower the interest rate, change the loan term, or access home equity.
- HARP refinance: The Home Affordable Refinance Program (HARP) is a government program that was created to help homeowners who are underwater on their mortgages refinance into more affordable loans. HARP is no longer accepting applications as of December 31, 2018.
- Streamline refinance: A streamline refinance is a type of refinancing that is designed to be fast and easy. Streamline refinancing programs are typically available to borrowers with existing government-backed loans, such as FHA or VA loans, and require minimal documentation and paperwork.
It’s important to evaluate the costs and benefits of each refinance program option and work with a mortgage professional or financial advisor to determine which program is best suited to your financial goals and circumstances.
