FHA STREAMLINE GUIDE
RCM · NCO · 2026 · 001 · A
FHA
Streamline
Refinance
A fast-track guide to lowering your rate with minimal paperwork — no appraisal, no income verification, no stress.
0
Max Cash Back at Closing
0
Required Payment Months
0
Min Days Since Closing
0
Min Rate Reduction (Fixed)
Process Overview
01
Check Eligibility
Qualify First
- Made 6 payments on existing FHA loan
- 210+ days since original closing date
- Max 1 late payment in past 12 months
- Loan must be current this month
→
02
Calculate Loan Amount
Run the Numbers
- Start with outstanding principal balance
- Add interest accrued (60-day max)
- Add MIP due (owner-occupied only)
- Subtract UFMIP refund, round down to $50
→
03
Prove Net Tangible Benefit
Show the Savings
- Fixed → Fixed: 0.5% rate reduction minimum
- Fixed → ARM: 2.0% reduction minimum
- ARM → Fixed: new rate within 2% of current
- Or: shorten term with ≤ $50 payment increase
→
04
Submit & Close
Final Stage
- No appraisal required in most cases
- Minimal income / asset documentation
- Cash back at closing limited to $500
- Closing costs cannot be rolled into loan
→
Net Tangible Benefit — Rate Requirements
| Loan Type Change | Minimum Rate Reduction | Payment Change Allowed | Status |
|---|---|---|---|
| Fixed Rate → Fixed Rate | 0.50% below current rate | Must decrease | Most Common |
| Fixed Rate → ARM | 2.00% below current rate | Must decrease | Strict Rule |
| ARM → Fixed Rate | Within 2% of current ARM | May increase slightly | Stability Play |
| Any → Shorter Term | No rate reduction required | ≤ $50 increase allowed | Term Savings |
Sample Calculation
Loan Amount
Breakdown
Here’s how a typical FHA Streamline loan amount is calculated — starting from the outstanding balance and working to the final rounded figure.
BALANCE
+ INTEREST (≤60 days)
+ MIP DUE
− UFMIP REFUND
──────────────────
ROUND ↓ to $50
= NEW LOAN AMOUNT
+ INTEREST (≤60 days)
+ MIP DUE
− UFMIP REFUND
──────────────────
ROUND ↓ to $50
= NEW LOAN AMOUNT
Outstanding Principal Balance
$245,000
+ Interest Due (60 days)
+ $2,450
+ MIP Due
+ $1,225
− UFMIP Refund
− $1,960
Subtotal Before Rounding
$246,715
New Loan Amount (rounded ↓ $50)
$246,700
Why Streamline?
No Appraisal
Your home’s current value is irrelevant. Even if values have dropped, you can still refinance — saving time and appraisal fees.
Minimal Docs
No income verification or employment confirmation required for non-credit-qualifying streamlines. Less paperwork, faster close.
Fast Closing
Streamlined underwriting means faster turnaround. Most loans can close in as little as 2–3 weeks from application to funding.
Ready to Streamline?
Robert Castle has helped Greeley & Weld County homeowners refinance for 27+ years. Call or submit your info — no obligation, no hard pull.
Free Consultation · No Obligation · No Hard Pull
Start Your FHA Streamline
Today
Today
Robert Castle · Senior Loan Officer · Excel Financial Group · NMLS #375348
NMLS #375348 · Company NMLS #389894 · Licensed in Colorado · Equal Housing Lender
