How Do I Remove FHA Streamline being Used by a Co-Borrower?

Removing a co-borrower out of the FHA loan is possible by funding the loan via an FHA streamline mortgage. The mortgage allows you to modify the basic terms and conditions of your mortgage contract out of mortgage rate to loan borrowers using as little paperwork as possible. Generally, a house reappraisal isn’t required, reducing the opportunity to complete the refinancing process even further. You’ll have to meet certain qualifications before application, though, and there are several constraints as to who can employ.

Remove the co-borrower from the title due to divorce or death six months before making the refinancing application.

Locate a lender offering FHA streamline refinance mortgages. Get an FHA streamline loan application from the bank.

Complete the application, putting only the titles and identification information of the debtors you wish to get on the mortgage type. Do not put any information pertaining to the co-borrower whom you would like to eliminate from the mortgage to the loan application.

Return the application. To be able to be eligible for the loan, you should have your house financed with an FHA loan, and the loan has to be in good position with a 12-month satisfactory-payment history. You also must be creditworthy, together with ability to pay the loan on your income alone. A fee is due upon application to spend money on the credit loan and check processing.

Wait for the creditor to process the loan. The streamlined process is a quick one and may help save you money by lowering the interest rate on your loan as well as removing the undesirable co-borrower.

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