Utah USDA Streamline Refinance

Do you currently have a USDA Home Loan?

Heads up! You’re about to read the somewhat boring outline of the requirements of a USDA streamline mortgage loan. If you’re looking for something more specific, please feel free to reach out. For personalized guidance or a same-day detailed rate quote, email me directly at Dana@UtahMortgageResource.com

I might have went a little overboard with the cow picture. USDA Rural Loans don’t need to be THAT rural.

If you already have such a loan in Utah, and interest rates are lower than when you purchased, there is an easy option to refinance it.

No appraisal, no income documentation, just a lower interest rate: that sums up the Utah USDA Streamline option.

The USDA Streamline Refinance will help if your home is underwater on the value, or if you’re not declaring the milk on your tax returns.

This type of refinance is in line with both the FHA and VA IRRRL streamlines, with a twist of trickier.

In order to streamline your Utah USDA Rural Loan, you must meet the following requirements:

1. You must have owned the home for at least 180 days, and the loan must be a current USDA mortgage loan (you can’t streamline an FHA into a USDA loan for example; that would require an appraisal as well as income documentation). You are still good even if the area itself is no longer eligible for USDA loans.
2. The home must still be your primary residence
3. You must have no 30-day late payments in the past 6 months.
4. 620 minimum credit score (if you’re not quite there, contact me for assistance).
5. The new interest rate may not exceed the interest rate of the existing loan.
6. No cash-outs allowed. The new loan amount cannot exceed the original loan amount. The maximum loan amount may include the principal and interest balance of the existing loan, eligible closing costs, and the upfront guarantee fee (currently at 1%).
7. The following cannot be financed into the new loan: delinquent interest, late fees, lender fees, and funds to establish a new escrow account. These must be paid out of pocket at closing (or can potentially be covered with lender credit – contact me to discuss options).

If you’re ready to start saving money, apply online and I’ll take it from there.