NEW GOVERNMENT REFINANCE PROGRAM:
When the government released the Homeowner Affordability Refinance Program (HARP) product two years ago, they envisioned helping 4 million homeowners get into a better mortgage. As of August, only 894,000 people were able to utilize the HARP product to get into a better mortgage.
The basics of the current HARP product allow homeowners in a FANNIE MAE or FREDDIE MAC loan to refinance their current loan at up to 125% Loan to value (though most lenders only do 105% LTV). The original loan had to be taken out before March of 2009. This product was meant to help homeowners with little or no equity refinance their current loan with at a lower rate with no mortgage insurance.
President Obama is scheduled to release revisions to the HARP program this week. The new program is said to uncap the max loan to value of 125%. The new HARP loan will allow more under water homeowners to refinance their current loan at a lower rate with no mortgage insurance.
Many consumers owe much more than 125% of their home’s value. The updated HARP product is meant to help the homeowner’s that the first HARP product could not.
Check below to see if your current loan is backed by FANNIE MAE or FREDDIE MAC.
FANNIE MAE check: http://www.fanniemae.com/loanlookup/
FREDDIE MAC check: https://ww3.freddiemac.com/corporate/
(HARP) HOME OWNER AFFORDABILITY REFINANCE PROGRAM – UPDATED TO HELP MORE UNDERWATER HOMEOWNERS
