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You already have an FHA loan on your home, and maybe you are in a fixed rate at 6.5%, or 7% or even a bit higher interest rate. The good news for you is that you can refinance your Atlanta mortgage loan into a lower rate, and help your household cash flow during these uncertain economic times.

But there is good news and bad news about refinancing FHA loans.

First, the bad news. Mortgage interest rates have been the most volatile that I have seen in years. They are moving just as wildly as the stock market. You see, the trading of bonds moves interest rates. Specifically, Ginnie Mae Mortgage Backed Securities (MBS). And, just like stock traders react to news and sentiment and rumors surrounding the market, trading accordingly, so do bond investors. And there has been a lot of news and sentiment and rumors moving bonds. Think the Mortgage Bailout Bill and the ways that has morphed, and the lower consumer sentiment, and all the hushed talk of recession and possibly worse. You get the picture.

What that means for you is that rates are up and down in very rapid moves, sometimes in a matter of hours, not days. The anecdote to the wild market gyrations? Be firm. Set a target rate that would be realistic (we may well see rates drop to that point), and have all your documentation in and ready with your lender to lock that rate the moment it becomes available, be it this week or two months from now. Take control by taking the emotion out of it. You will prosper if you do.

Now for the good news. Refinancing an FHA loan is one of the easiest things you will ever do in your life. You set a target interest rate that makes sense, where you will save some money every month. Then, sign a set of loan disclosures that your lender provides, and give him three things: a copy of your drivers’ license, a copy of your current mortgage statement, and the name and phone number of your homeowner’s insurance agent. Then, sit back and wait for your lender to call and tell you a closing date is ready. Qualification for approval is little more than having made your mortgage payments on time for the past 12 months.

Simple. No tax returns, pay stubs, bank statements, no letters of explanation about that late payment you had back in college when you were backpacking across Europe. Nothing. And the really good news: in most cases you will not even need an appraisal. If your loan is quite new, you may. But if you have had your FHA loan for about 3 years and have made your payments on time, then that is all you will need.

Want some icing to put on that refinance cake? Well, if you are refinancing within 5 years of your original loan, you will also get a pro-rated refund of that Mortgage Insurance Premium that you rolled into the loan amount. And, you will likely skip a month’s mortgage payment. Remember, mortgage interest is paid in arrears, so your refinance in November will have a payment due January 1, and that pays December’s interest. Still, not having a payment due over Christmas is, well, a little gift.

So, call today about your FHA loan on your home anywhere around metro Atlanta, or anywhere in Georgia for that matter, and let’s set it up. And, raise your arms high in the air and be ready to lock when the roller coaster of rates takes a wild ride down. And let out a little scream for joy. What a ride!