It can be a great tool to get out of an undesirable adjustable loan as well. FHA will lend up to 95% cash out for refinance. There is NO maximum income limit.
It is so flexible that they will even allow concessions for borrowers that typically have trouble going with a conventional loan, such as:
- Self Employed Borrowers
- Permanent Resident Alien
- Non-Occupant "Co Borrowers" Allowed
- Gap in Employment
- Recent Collections/Judgements
- No Cash Reserves Required
- Unpaid Collections Allowed
- Higher Qualifying Ratios (up to 31% front end ratio / 43% back end ratio)