"Mortgage Interest Rate Investment Property"
MetLife Home Loans Net Financial Benefit Worksheet for FHA Streamline Refinances Closer to check the appropriate box to demonstrate the net tangible benefit once the rate is locked. The following is required for all FHA Streamline Refinance transactions in addition to the standard MetLife or state Loan #: Net Financial Benefit requirements. Borrower Name: Date Prepared: A. Reduction in Total Mortgage Payment Total Mortgage Payment* on Existing FHA Insured Mortgage Total Mortgage Payment* on New FHA Insured Mortgage Difference $ - Percent Difference #DIV/0! If new total payment is 5% or more below the existing total payment, there is a net tangible benefit All Second Home and Investment Home transactions must meet this requirement. If 1-Year ARM or Hybrid ARM to Fixed, C or D below must be met as well. Applicable when refinancing from a Fixed Rate to a Fixed Rate, ARM to ARM, GPM to Fixed Rate, GPM to ARM, 203(k) to 203(b) and from 235 to 203(b) B. Fixed Rate to 1-Year ARM Interest Rate on Existing Fixed Rate Mortgage Interest Rate on New 1-Year ARM Difference 0.000% If the interest rate on the new mortgage is at least 2% below the interest rate of the existing mortgage, there is a net tangible benefit. Not allowed for Second Home or Investment Property C. 1-Year ARM to Fixed Rate Interest Rate on Existing 1-Year ARM Mortgage Interest Rate on New Fixed Rate Mortgage Difference 0.000% If current mortgage is 1-Year ARM and new Fixed Rate is no more than 2% above current 1-Year ARM rate, there is a net tangible benefit. All applicable Second Home and Investment Property transactions must meet this requirement. D. Hybrid ARM to Fixed Rate Total Mortgage Payment* on Existing Hybrid ARM Total Mortgage Payment* on New Fixed Rate Mortgage Difference $ - Percent Difference #DIV/0! If current mortgage is Hybrid ARM and new Fixed Rate total payment is no more than 20% higher than current Hybrid ARM total payment, there is a net tangible benefit. All applicable Second Home and Investment Property transactions must meet this requirement. E. Reduction in Term Transactions with a reduction in the original mortgage term must be closed as a Rate Term / credit qualifying refinance. *Total mortgage payment includes principal, interest, taxes, insurances, homeowners' association fees, ground rents, special assessments, and all subordinate liens 9b49328d-c423-4974-9581-9869b0a245ad.xls Doc Type: CRDTPKG 07-09-2010