How to refinance with bad credit?

Not legal advice: Borrowers with bad credit have had difficulty refinancing since the U.S. housing crisis and credit crunch began in 2008. The best refinancing option for those with bad credit is most likely an FHA loan, which is backed by the U.S. government.

New FHA refinance rules require borrowers to own property for a minimum length of time and be “current on the mortgage being refinanced for the month due prior to the month in which they close the refinancing and for the month in which they close”. Borrowers are no longer required to certify income and employment on streamline refinance transactions.

Factors that can affect your mortgage refinance rate include your credit score, loan term, loan size, loan to value, type of refinance, loan-lock length, and type of residence.