Is the FHA short refinance still an option?

The FHA short refinance is an option, however very few lenders are doing them, and most lenders here don't even know the product exists.. Keep in mind that FHA only insures loans against default, they do not lend, so it's up to the lenders to decide if they will participate in a certain program or not.. and for this product, not many do... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

There is no expiration until FHA changes the rules and ceases to offer it. Is it still an option? Yes and No. Yes, FHA still will approve them, but require that the account being paid off be current in the 12 months that precede the refinance. I know of no investors that will approve a short payoff unless the account is delinquent. If your bank will allow a short payoff and you can get it without going delinquent, then you should be able to get a new FHA to refinance with. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Licensed in California and Arizona ~ www.LoansA2z.com 888-889-9950

BY short refinance are you thinking Streamline Refiance? If so, then it is still here and has been forecer so take advantage of it while the rates are low. As for considering it, that depends on your specific situation. You need to lower your payment by a minimum of 5% to get what FHA requires as a Net Tangible Benefit. Someone here will respond from SC so contact them when they do or you can call a LOCAL lender for help. Stay away from the Big Banks and National Lenders as they take too long and cost too much. Good Luck.

You can always refinance a FHA loan to a lower rate without needing an appraisal and that is definitely worth doing if it makes sense for your situation. The short refinance option would only be available through your current loan servicer and I guarantee will be a much more difficult process. I don't know when it expires without looking it up, no lender that does not service FHA loans will offer that option, and only for loans they already have in their servicing portfolio. Depending on your situation it may be worth doing but make certain you know all the details before following through. I'm right here in SC and would be happy to show you options for a FHA streamline (not a short refinance). pdumouchel@primelending.com or direct 843.619.6025 With current rates around 3.25 for a 30 year loan it makes sense for many who currently have a FHA loan, especially if they closed prior to 6/1/09.