10 Best FHA Streamline Refinance Lenders June 2022
Our goal is to give you the tools and confidence you need to improve your finances. Although we receive compensation from our partner lenders, whom we will always identify, all opinions are our own. By refinancing your mortgage, total finance charges may be higher over the life of the loan.
Credible Operations, Inc. NMLS # 1681276, is referred to here as “Credible.”
If you have an FHA loan, you can quickly and easily lower your monthly payments when interest rates fall through an FHA streamline refinance. This program allows you to refinance an FHA loan without going through another credit check or home appraisal.
Here’s what you need to know about FHA streamline refinances, including the best lenders to shop with:
Best FHA streamline refinance lenders
While not every lender offers FHA streamline refinance loans, many prominent mortgage lenders do. Be sure to compare rates from multiple lenders and choose one that offers a customer experience tailored to your needs.
Here are the best lenders for an FHA streamline refinance:
Best for: Borrowers seeking a robust online experience
Rocket Mortgage is a national lender with an end-to-end online mortgage experience and a reputation for solid customer service. Rocket Mortgage is a Credible partner.
- Completely online application: Rocket Mortgage allows you to apply for your FHA streamline refinance loan completely online.
- In-house servicing: Rocket Mortgage says the company services 99% of the loans it originates, so you won’t have to worry about your loan being sold to a servicer you don’t know.
- Mortgage rates available online: Rocket Mortgage publishes current rates for standard loan offerings online, including 30-year FHA refinance loans.
- Higher minimum credit scores: You’ll need a credit score of 580 to qualify for an FHA streamline refinance with Rocket Mortgage, even though checking your credit score isn’t required by the FHA for the streamline program. If your loan isn’t with Rocket Mortgage already, you’ll need a score of 640.
- No in-person service: While you can reach a Rocket Mortgage loan officer by phone, email or chat, you won’t be able to meet in person.
- Need to log in to get rate quotes: You’ll need to provide your email address and log in before you can access a custom rate quote or begin your mortgage application using the Rocket Mortgage website. With Credible you can see personalized rates from Rocket Mortgage in minutes.
Learn More: Rocket Mortgage Home Loan Review
Best for: Borrowers seeking a quick closing
Freedom Mortgage is one of the top FHA lenders in the country and emphasizes speed. Freedom Mortgage is not a Credible partner.
- Quick closing: Freedom Mortgage says it can close on your FHA streamline refinance loan in less than 30 days.
- Deep experience with FHA loans: Inside Mortgage Finance ranked Freedom Mortgage as the biggest FHA lender nationwide, so you can rest assured its loan officers have deep experience with the streamline refinance program.
- Little paperwork: Freedom Mortgage doesn’t require a home appraisal or income verification for its streamline refinances.
- Must fill out a contact form to start: You won’t be able to jump in to a refinance application. Instead, you’ll need to send in your contact information and wait for a loan officer to get in touch.
- No mortgage rates online: Freedom Mortgage doesn’t publish current mortgage rates online. This makes it harder to comparison shop.
- Lack of transparency on qualifications: The company promises “easy credit score qualification,” but doesn’t detail its requirements for who will qualify for an FHA streamline refinance.
Learn More: Credit Score Needed to Get a Home Loan
Best for: Borrowers that prefer in-person service
Guaranteed Rate has a robust online mortgage platform but also maintains a wide branch network, with loan officers across the country. Guaranteed Rate is not a Credible partner.
- Available nationwide: Guaranteed Rate lends in all 50 states and Washington D.C.
- In-person service: More than 850 branches are spread out across the country, meaning you can likely get in-person service if you want it.
- Mortgage rates posted online: Guaranteed Rate publishes current rates and loan details on its website, including for a 30-year fixed-rate FHA loan.
- High credit score requirement: While you may be able to qualify for an FHA loan with a credit score as low as 500 with some lenders, Guaranteed Rate requires you to have a credit score of 620 to be approved for a mortgage.
- Rate quote requires loan application: If you want to see what your actual rate could be, you’ll need to fill out a loan application or contact form and wait for a loan officer to get in touch.
- No home equity products: If you ultimately decide you want to tap your home equity with a home equity loan or HELOC, you’ll need to go elsewhere.
Learn More: Guaranteed Rate Review: Mortgage and Mortgage Refinancing
Caliber Home Loans
Best for: First-time refinancers
Caliber Home Loans is a privately held lender with ties to the veteran community and an emphasis on helping you understand the loan process. Caliber Home Loans is a Credible partner.
- Lots of educational material: Caliber Home Loans has a wealth of resources available online, which might prove helpful if you’re new to the refinancing process.
- Available nationwide: Caliber Home Loans is licensed in all 50 states.
- In-person service available: Caliber has loan officers throughout the country, so you may be able to meet with one in person to complete your application. You can also easily search for a loan officer in your area on its website.
- Higher credit score requirement: You must have a credit score of 620 to complete an FHA streamline refinance with Caliber. That’s higher than other lenders require.
- Little in-house servicing: Caliber generally sells off the loans it originates, meaning you’ll end up dealing with a different company for your mortgage payments.
- Prepayment penalties: Caliber says its prepayment penalties vary by loan type and state, so you may face a fee if you decide to refinance your loan again or otherwise pay it off early.
Learn More: Caliber Mortgage Review
Be sure to shop around and compare refinance rates with multiple lenders. You can do this easily with Credible — and you’ll be able to see your prequalified rates in only three minutes.
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Checking rates will not affect your credit
Best for: Borrowers with little savings
Pennymac is a national home lender and one of the largest mortgage servicers in the country, offering no-cost refinance loans. Pennymac is not a Credible partner.
- Low closing costs: Pennymac says it has “low or no-cost” options for FHA streamline refinances, which might help if you have little savings to cover closing costs up front.
- Mortgage rate available online: Pennymac publishes its current 30-year FHA mortgage rate online, making it easy to comparison shop quickly.
- No appraisal or income documentation required: You won’t need to have your home appraised or prove your income to get an FHA streamline refinance with Pennymac.
- No physical branches: If you’re looking for in-person service, you won’t be able to get it with Pennymac.
- Not available in New York: Pennymac doesn’t originate loans in the state of New York.
- No home equity loans: If you decide to tap your home equity down the line, you won’t be able to do that with Pennymac.
Learn More: Pennymac Mortgage Review
Best for: Borrowers who want the flexibility of being able to refinance multiple times
loanDepot is an online-focused lender that wants to keep your business. One way it does this is by waiving refinancing fees for returning customers. loanDepot is a Credible partner.
- Fees waived on future refinances: Once you refinance with loanDepot, the company promises to waive its lender fees if you refinance again with the company down the line.
- Completely online application: loanDepot uses a fully online mortgage application process, including uploading documents.
- No-closing-cost option may be available: loanDepot says borrowers may qualify for a “no-cost” FHA streamline refinance, where it covers the closing costs in exchange for a higher interest rate.
- Mortgage rates not available online: loanDepot doesn’t publish current mortgage rates on its website. You’ll have to contact a loan officer to find out what they are.
- Branches not available in all areas: While loanDepot does have a large number of branches for in-person service, you won’t find them in all areas.
- No home equity loans: Like many lenders on this list, loanDepot doesn’t offer home equity loans, so you’ll need to find another lender if you plan to tap your home equity in the future.
Learn More: loanDepot Review: Mortgage and Mortgage Refinancing
New American Funding
Best for: Latino American borrowers
New American Funding is a direct lender that wants to help you move quickly, whether you’re buying a home in a hot labor market or refinancing. It also maintains a strong focus on supporting Hispanic borrowers. New American Funding is not a Credible partner.
- Commitment to Latino Americans: New American Funding’s Latino Focus initiative aims to increase homeownership among Latino Americans and underserved markets. In addition, 25% of its loan officers are Hispanic.
- Quick online rate quote form: You can get a custom rate quote with a short online form that takes about three minutes to complete. You will, however, need to send the lender your contact information.
- Mortgage rates published online: New American Funding makes current mortgage rates available on its website, making it easy for preliminary rate shopping.
- Rates published online may be misleading: New American Funding’s published rates assume you have a credit score of 740 or higher, and typically include buying points to lower your rate.
- Branches not available in all states: New American Funding has branches in 33 states, meaning you may not have one in your area.
- No home equity loans available: You won’t find home equity loans or HELOCs at New American Funding.
Learn More: New American Funding Mortgage Review
Best for: Low-income borrowers
PNC Bank is a large national commercial bank with programs to help low-income borrowers afford their homes. PNC Bank is not a Credible partner.
- No equity required: PNC Bank has no loan-to-value ratio maximum for an FHA streamline refinance, so you may qualify even if you have little to no equity in your home.
- May qualify for a closing cost grant: PNC offers grants of up to $5,000 toward the closing costs on some refinance loans for low-income families or people living in disadvantaged communities.
- Mortgage rates available online: You can submit your desired loan amount and ZIP code via the PNC website to instantly get a rate quote.
- No FHA renovation loans: PNC Bank doesn’t offer the FHA 203(k) renovation loan program, which can help you pay for home improvements while refinancing.
- Loan officers not available in all states: While PNC lends nationwide, you won’t find loan officers on the ground in all areas.
- No dedicated mortgage app: PNC Bank has a highly rated personal banking app, but it doesn’t offer a mobile app specifically for mortgage customers.
Check Out: How Loan-to-Value Ratio (LTV) Impacts Refinancing
Mutual of Omaha Mortgage
Best for: Mobile app users
Mutual of Omaha Mortgage is a century-old company that has kept up with the times, including with a flashy mobile app to help you navigate the refinance process. Mutual of Omaha Mortgage is not a Credible partner.
- Application available online or through mobile app: You can apply for your FHA streamline refinance via the Mutual of Omaha website or through its dedicated mortgage mobile app.
- Mortgage rates published online: Mutual of Omaha puts current mortgage rates right on its website, including rates for an FHA 30-year fixed-rate mortgage.
- In-person service available: You may be able to find a loan officer near you by searching for one on Mutual of Omaha’s website.
- Hard to compare loan options: The Mutual of Omaha website doesn’t make it easy to compare loan options, instead asking you to let them know why you’re refinancing — to lower your monthly payment or get cash out.
- Loan officers not available in all states: Some states don’t have Mutual of Omaha loan officers. In this case, you’ll have to get service online or by phone.
- No home equity loans available: You’ll need to go elsewhere to tap your home equity with a home equity loan or HELOC.
Check Out: Best Home Equity Line of Credit (HELOC) Lenders
Best for: Borrowers prioritizing a fast underwriting process
Movement Mortgage is a socially conscious company that prizes speedy service. Movement Mortgage is not a Credible partner.
- Fast loan decisions: Movement says its goal is to have an underwriting decision within six hours and processing done within seven days.
- Quick online application: You can dive right into a mortgage application on the Movement website without needing to jump through hoops.
- Supports philanthropic causes: Nearly half of Movement Mortgage’s profits go to the Movement Foundation, which sponsors philanthropy around the country.
- Mortgage rates not available online: You won’t find current rates posted on the Movement Mortgage website.
- Loan officers can be hard to find: Movement has about 100 loan officers scattered across the country, but they’re not in most areas. You may need to stick with web and phone support.
- No home equity loans available: You won’t be able to tap your home equity through a home equity loan or HELOC.
Here’s a side-by-side comparison of key points for the above lenders:
|Lender||Minimum credit score||Loan types|
|Rocket Mortgage||580 for existing customers; 640 for new customers||Fixed rate, adjustable rate|
|Freedom Mortgage||Not disclosed||Not disclosed|
|Guaranteed Rate||620||Fixed rate|
|Caliber Home Loans||620||Fixed rate|
|Pennymac||580||Fixed rate, adjustable rate|
|loanDepot||Not disclosed||Fixed rate, adjustable rate|
|New American Funding||Not disclosed||Fixed rate, adjustable rate|
|PNC Bank||Not disclosed||Fixed rate, adjustable rate|
|Mutual of Omaha Mortgage||Not disclosed||Fixed rate|
|Movement Mortgage||620||Fixed rate, adjustable rate|
Credible evaluates mortgage refinance lenders based on criteria including mortgage rates offered, fees charged, types of loans available, servicing policies, customer service, and technology. Data is gathered from the lenders’ websites and other publicly available data.
The ease of receiving a rate quote, lender transparency, and additional services are also factors.
FHA streamline refinance FAQs
What is an FHA streamline refinance?
The FHA streamline refinance is a special refinancing process for FHA loan holders. Compared with a traditional refinance, the FHA streamline is typically quicker and easier to qualify for.
FHA streamline refinances often require less documentation and have more flexible criteria. For instance, you may not need to go through a credit check, have your income verified, or conduct a home appraisal.
Another benefit of the streamline program is that you can usually refinance with little to no equity in your property. However, you can’t take cash out from your equity using an FHA streamline refinance. Individual lenders may also have more stringent criteria you must meet to complete a streamline refinance with them.
Learn More: Cash-Out Refinance: How it Works and When to Get One
Is an FHA streamline refinance a good idea?
If you have an FHA loan and can qualify for a lower interest rate, the FHA streamline refinance program may be a good idea. You can refinance more cheaply and easily and with less rigorous criteria than with traditional refinancing. With your lower interest rate, your monthly payment is likely to go down.
An FHA streamline refinance isn’t always the best option, however. If your credit score has improved since you took out your FHA loan, you may consider refinancing into a conventional loan. These loans often have lower interest rates and don’t require mortgage insurance once you’ve built up enough equity in your property.
Does an FHA streamline refinance have closing costs?
Yes, an FHA streamline refinance requires you to pay closing costs. These can include origination or lender fees, mortgage insurance premiums, attorney fees, and escrow items like homeowners insurance and taxes.
Some lenders may offer a “no-cost” FHA streamline refinance. In these cases, your lender covers your closing costs for you in exchange for charging you a higher interest rate. These may not always be a good deal in the long run, but can help you if you’re strapped for cash at the time of your refinance.
FHA streamline refinance requirements
To qualify for an FHA streamline refinance, you must meet the requirements of the federal program, which includes:
- Already have an FHA loan
- Have made at least six payments on your FHA loan and held it for 210 days or longer
- Be current on your mortgage
- Get a “net tangible benefit” from your refinance, such as a lower interest rate
Credible makes refinancing easy. If you’re looking to refinance your mortgage, start by checking prequalified rates on Credible.
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