HI Max. I had the same exact problem. I was told that NJ Housing Agency would have to subordinate the loan. When I called them and advised them that I would like to do a Streamline Refinance to lower my payment they told me that they will not subordinate. I advised them that my contract with them clearly states "If the borrower conveys, CASH-OUT REFINANCES or CEASES TO OCCUPY THE PREMISES AS HIS PRIMARY RESIDENCE, full repayment of principal and accrued interest will be due.
I told them that I am not trying to conduct a CASH-OUT refinance. I explained that I am not taking any cash-out and that I want to conduct a streamline just to lower my payments.
I was told that my contract should have read "ALL REFINANCES" and that the new contracts now state that.
I was furious. Shouldn't they have to be obligated to our contract? Our contract should be binding as these are the terms that were agreed upon.... more
You were given the incorrect information. i have completed a streamline refinance on two other properties. You can streamline for a lower rate as long as you are not cashing out or adding/deleting an individual from the mortgage. I would be happy to help you with the process.
Camille Marotta, Branch Manager NMLS 9838
First Alliance Home Mortgage
7 Pelican Drive, Suite 3
Bayville, NJ 08721
732-539-9300 30 YEARS OF MORTGAGE EXPERIENCE IS THE KEY TO SUCCESSFUL FINANCING.... more
you can rent out either way.. conv or FHA - later down the road.. both are most likely looking at owner occupied... better deal... FHA has cost associated with so have your lender run the nubmers and know your options... both are good - one may be better for you and your money situation... good luck...... more