SBA can refinance all or part of prior mortgages that are evidenced by a recorded lien, when the applicant:
- Does not have credit available elsewhere,
- Has suffered substantial uncompensated disaster damage (40 percent or more of the value of the property)
- Intends to repair the damage.
Homes: Homeowners may be eligible for the refinancing of existing liens or mortgages on homes, and in some cases up to the amount of the loan for real estate repair or replacement.
Businesses: Business owners may be eligible for the refinancing of existing mortgages or liens on real estate, machinery and equipment, and in some cases up to the amount of the loan for the repair or replacement of real estate, machinery and equipment.
When SBA loan officers discuss their approval recommendations they will include a discussion on refinancing if applicable to your application.