Finance

Under Ohio law, which of the following is TRUE about an FHA streamline refinance?

AIt requires a new appraisal in all cases
BIt allows FHA borrowers to refinance with reduced documentation and often no appraisal✓ Correct
CIt is available for all residential loan types
DIt requires the borrower to pay 20% down

Explanation

An FHA streamline refinance allows existing FHA borrowers to refinance to a lower rate with reduced documentation and often without a new appraisal, as long as the refinance results in a 'net tangible benefit' to the borrower.

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