1. FHA Streamline RefinancePurpose:Simplify refinancing for homeowners who already have an FHA loan — lowering their rate or switching from an ARM to a fixed rate with minimal paperwork and cost.Key Features:No income verification usually requiredNo appraisal required in most cases (uses the original home value)Limited credit check — just to confirm good payment historyMust benefit financially (lower rate, lower payment, or move to a more stable loan)Basic Rules:You must already have an FHA-insured loanNo late payments in the past 12 monthsAt least 6 months must have passed since your current FHA loan was openedThe refinance must result in a “net tangible benefit” — meaning it improves your financial situationAppraisal Waiver:Most FHA Streamlines don’t require an appraisal at all — it’s based on the original value when the loan was made.👉 So, the loan amount can’t exceed your current unpaid principal balance plus upfront MIP (mortgage insurance premium).🟦 2. VA Streamline Refinance (IRRRL)(IRRRL = Interest Rate Reduction Refinance Loan)Purpose:For veterans, service members, or eligible spouses who already have a VA loan, this program allows them to lower their rate quickly and cheaply.Key Features:No appraisal required (uses prior VA loan value)No income or employment verificationLimited or no out-of-pocket costs (can roll costs into new loan)No cash-out allowed — it’s only to reduce the rate or switch from ARM to fixedBasic Rules:Must have an existing VA-backed loanMust show a net tangible benefit (like lowering monthly payment or rate)Must be current on mortgage paymentsAppraisal Waiver:VA Streamlines typically waive the appraisal entirely, meaning your home value isn’t rechecked.This makes the process much faster and easier.🟨 3. The “90% Appraisal Waiver” ExplainedThis term often shows up when:A lender chooses to order an appraisal, but wants to use an automated value system (AVM) orWhen the lender uses an appraisal waiver (like through FHA/VA automated systems) up to 90% of the home’s current estimated value.In practice:It means the lender or agency allows the loan amount to be up to 90% of the home’s estimated value without a full appraisal.It’s a type of limited-value check — often used when rates are being lowered and no cash-out is being taken.It helps borrowers avoid delays and costs tied to a new appraisal.Example:If your home’s estimated value (per AVM or prior appraisal) is $400,000, a 90% waiver means your loan can go up to $360,000 without needing a new appraisal.✅ Summary Comtune in and learn https://www.ddamortgage.com/blogdidier malagies nmls#212566dda mortgage nmls#324329 Support the show

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