What is the best option for an underwater FHA mortgage?

I'd do an FHA streamline mortgage...no appraisal req'd and no income verification, just a credit pull for the scores and to set rate.

Streamline FHA, no appraisal and also no closing costs. When was the loan closed?

Hi, FHA loans can be "streamline refinanced". There is an option to do so with or without an appraisal. There are guidelines that need followed by the lender who originates the new loan. However, to answer your question we go off the appraised value in FHA's system (for no appraisal). The new loan is principal + New mortgage insurance - mortgage insurance refund = New loan amt. So long as your new loan to value is not higher than 125%, you are good to go. Call or email for more info: Kimberly Lawson 888-659-3848 OH.LO.004495.000 NMLS:5601

Streamline Refinance will allow you to refinance without an appraisal. That is a great option for you. You will be able to drop your interest rate more than 2% and probably get the lender to pay all your closing costs. No brainer, go for it!

FHA streamline..... 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 already have 5 answers and can not disagee with any of them. A FHA Streamline Refinance sounds like what you want to consider. Talk with a lender or two and compare the rates and closing costs.