What are the refinance options for a USDA mortgage?

There is a pilot program for a Streamline refi transaction with USDA, where you can refinance without an appraisal, inspections, or credit reports, and it's only available in certain states, (Indiana is included). The biggest problem is lender guidelines, not USDA guidelines. Although USDA allows for these transactions, not all the lenders have taken hold.. And most will still require a minimum credit score and some even require an appraisal. The best advice I can give you is to contact a LOCAL mortgage broker and apply with them. Not the local "Big" bank, and certainly not one of those 50 states internet lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. 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

You can only refinance into an USDA Guaranteed Rural Home Loan (GRHL) if you already have an existing USDA GRHL. FYI: We are located in downtown Crown Point right across the street from the new public library if you would like to stop and discuss your situation.

I do not know much about the lender overlays on the pilot program, but get with a local lender in your area and see how they can help you. Best Of Luck!

USDA RD has a refinance pilot program. Existing Rural Development borrowers eligible for the pilot refinance program are not required to obtain new appraisals, property inspections or credit reports. The new interest rate for the refinance must be a fixed rate at least 1 percentage point below the current interest rate. The term cannot exceed 30 years. No cash-out is permitted to the borrower.

It is possible to do a USDA to USDA refinance, but the home has to currently be financed through USDA (if not, there may be other low interest rate options). There is a program in Indiana for the "Streamline" refinance, but not all lenders have the program available. Regardless, if you have a high interest rate and you otherwise qualify, it may be a good opportunity to even do a "regular" refinance. As a side note, USDA is working on their funding for the new year, and last I heard, they have put refinances on hold temporarily. If I can be of any assistance to you , let me know, as I have an office just south of US 30 and Merrillville Road in Merrillville.