FHASecure

In 1934 the US Government created the Federal Housing Administration (FHA) in order to help make homes affordable for all American families. Today, the FHA is a part of the US Department of Housing and Urban Development (HUD). Between the FHA and HUD, millions of American families have been able to become first time homeowners. Additionally, the FHA and HUD have helped millions more avoid foreclosure through their far reaching refinance plans.

What is FHASecure?

FHASecure was created in 2007 as a way to help an estimated 240,000 American families avoid foreclosure. The plan was to help families who had otherwise good credit refinance their homes if they were having difficulty making payments. Homeowners who had been making timely payments before their loans reset could now qualify to refinance with an FHA loan, even if they had defaulted on a couple payments after the teaser rates had run out.

How to Qualify

There are five criteria that homeowners must meet in order to qualify for FHASecure:
1. The borrower must have a history of making timely payments before the teaser rates ran out and the loan reset;
2. The teaser rates ran out between 2005 and 2008;
3. There is at least 3% cash or equity in the house;
4. The borrower has a sustained history of employment; and
5. The borrower has enough income to make the new mortgage payments on the home.

Are there other plans available?

Yes. There is another great refinance plan offered by the FHA and HUD called HOPE for Homeowners (H4H). This program was designed to help borrowers refinance their loans if they were having trouble making payments and were at risk of foreclosure. To refinance under H4H, you will have to prove that your payments take up at least 31% of your gross monthly income. Additionally, you will also be required to prove that you are not able to make your mortgage payments without assistance.

Where to Start

If you need help with your mortgage payments, it is a good idea to look into refinancing your current loan to an FHA insured loan. This way you will prevent the risk of foreclosure and the loss of your home. You can get pre-approved for a new FHA mortgage today by taking a minute to fill out our secure online form. The application is free and will have you pre-approved within minutes.

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