FHA home loans are mortgage loans that are insured against default by the Federal Housing Administration (FHA). FHA loans are available for single family and multifamily homes. These home loans allow banks to continuously issue loans without much risk or capital requirements. The FHA doesn't issue loans or set interest rates, it just guarantees against default.
If your FHA loan was originated before March 2023 you may be able to lower your MIP payment by 30bps
Borrowers must wait 210 days after their last purchase or refinance and have made six on-time payments on their current FHA-insured loan before they can apply.
It is a simplified process that allows current FHA mortgage borrowers to lower their interest rate to today's rate. Very little underwriting is required and an appraisal is not required.
An additional benefit of refinancing an FHA backed loan within the first 3 years of the existing loan origination in that the FHA provides a partial refund of the upfront (UFMIP) initially paid at the time of the original origination.