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  1. #1
    Join Date
    Jul 2011
    Posts
    1,923

    FHA Loan Reduction Letter

    Today, I received a letter from the FHA (presumably, I'll verify ** calling the main number, not what's on the letter) saying that due to the high volume of foreclosed homes in the area, your FHA Loan Payment can be reduced to ****. We apologize for the delay in notification of this urgent matter. Please call the number below to activate your interest rate reduction.

    It gives a number to call for a loan specialist, and a lender number as well. My original lender, Wells Fargo, is in the heading at the top of the letter.

    My rate is 4.25%, and the letter states that I can now get between 2.875% and 3.875%. At 2.875%, I figure that I could do a 20 yr mortgage and be paying what I'm paying now for a 30, more or less. It seems too good to be true. At 3.875%, I'm saving over $60/month.

    I'm calling tomorrow to see what's up with this. In the meantime, anyone know if this is a scam?

  2. #2
    Join Date
    Jul 2006
    Posts
    7,767

    Re: FHA Loan Reduction Letter



    unfortunately, it looks like you have to pay closing costs, but they can be added into loan. @60 a month savings, might take long time to pay off closing?
    Last edited by mumbles; 07-26-2011 at 07:50 PM.

  3. #3
    Join Date
    Jul 2011
    Posts
    1,923

    Re: FHA Loan Reduction Letter

    Thanks for getting back to me. As it turns out, it was Service First Mortgage. They werer attempting to get me to refi into an ARM. Not a scam, but definitely misleading to say the least. I'd have to be a complete idiot to get an ARM at all, let alone the fact that my 30 yr fixed is for 4.25%.

    Inerest rates are near the bottom still, but will eventually go up to a significant degree, regardless if the Federal Gov't takes a hit to it's credit rating.

  4. #4
    Join Date
    Dec 2011
    Posts
    5

    Re: FHA Loan Reduction Letter

    FHA does NOT solicit for loans.

    NEVER, EVER,E EVER.

    FHA is not a lender. They are insurers of the mortgage.

    ALL FHA loans must be obtained via a lender. You should report the letter you received to HUD. If it appears it came from FHA, it is against their regulations.

    Lenders send out letters like this all the time to people who currently have an FHA loan. They are soliciting you for what's called the FHA Streamline refinance. It's not free and these days, most borrowers cannot qualify for it. Prior to 2008, just about any FHA borrower could qualify. But the rules have changed.

  5. #5
    Join Date
    Jul 2011
    Posts
    1,923

    Re: FHA Loan Reduction Letter

    Quote Originally Posted by Clintonomics View Post
    FHA does NOT solicit for loans.

    NEVER, EVER,E EVER.

    FHA is not a lender. They are insurers of the mortgage.

    ALL FHA loans must be obtained via a lender. You should report the letter you received to HUD. If it appears it came from FHA, it is against their regulations.

    Lenders send out letters like this all the time to people who currently have an FHA loan. They are soliciting you for what's called the FHA Streamline refinance. It's not free and these days, most borrowers cannot qualify for it. Prior to 2008, just about any FHA borrower could qualify. But the rules have changed.
    Thanks, as it turns out I was being solicited for an ARM.

    I hope no one fell for this.
    MLM's Mission Statement:

    "The primary product is opportunity. The strongest, most powerful motivational force today is false hope."

    "Almost everyone is not going to learn the skills and use them consistently over time, you would be better off joining Costco" -Dank111

  6. #6
    Join Date
    Oct 2013
    Posts
    2

    Re: FHA Loan

    Getting your loan needs to consider many things before you can be approved. A good-looking home is a home that will appeal to buyers, or even the FHA. Here are a few tips for making your home FHA qualified - because buyers with an FHA home loan are abundant, and you'll want to make sure that the FHA will be willing to finance the purchase of your sale property.

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