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Does additional income help to qualify for refinancing an FHA loan?

I just got another job making about 20% more and was thinking of looking into 15 or 30 year refinance loan.  I think my house is currently under water a little since I bought it a year and a half ago.  I had 3% down and have paid the monthly payments every month.

Any chance a lender would bite?
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October 01 2012 - Los Angeles
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the underwater part concerns me if you are looking for an FHA loan.they will require 3% equity in the home so you might have to bring cash to close.

if you already have an FHA loan you can look into a streamline FHA refinance and then not worry about equity.

any increase in income is going to help your qualification factors

let me know if you have anymore questions
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October 01 2012
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Thanks Brian, I'll look at the streamline option.  I think the house may only be a little under water and I can come up with about 5% to put down atm.
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October 01 2012
You only need 2.25% equity for a full doc FHA loan ( not cash out )  but I believe you already have an FHA loan which means you can do a no appraisal streamline, income is not used. The key is the amount you pay each month for mortgage insurance, how much is it?
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October 01 2012
Saugsman,

Do you currently have an FHA loan? It sounds like you might from your question and if so an FHA Streamline makes the equity question a non-issue.

If so I think you have a real good chance.

Sincerely,
Greg

P.S. Your house may not be underwater at all right now. For the most part real estate in California is worth more than it was a year and a half ago, not less. 
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October 01 2012
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zillow has the value underwater about 18k right now for whatever that's worth.  I owe 302k.  I believe I pay $225/ month pmi.
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October 01 2012
Back to square 1, do you have an FHA loan?
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October 01 2012
You cannot rely on Zillow for real time valuation.  Seek the advice of a real estate professional who can give you a current valuation according to market conditions.  Don't assume you are under water.
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October 01 2012
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yeah clay FHA
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October 01 2012
Alrighty then, the value does not matter. It looks like you can now qualify for a streamline since interest rates / pricing have dropped and your current annual MI was based on a .90 factor,  that means you can meet the 5% tangible benefit test. 
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October 01 2012
Yep, a Streamline refinance is probably the way to go.

Greg
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October 01 2012
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thanks for the advice
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October 01 2012
 
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