Today’s Originations linkfest is aimed at the Home low-cost Refinance Program (HARP) that permits underwater home owners to refinance. HARP had been set to expire at the conclusion with this and has now been expanded to run through the end of 2015 year. Pay attention that is particular links by other mortgage banker Dan Green whom writes TheMortgageReports blog—he’s throughout the latest HARP happenings. Additionally here are the 5 Key Questions To pose a question to your Loan Officer About HARP Refis, an item provided for me personally by another other mortgage banker Craig Reynolds.
HARP INFORMATION UPDATES – Latest Stats on HARP Refi amount (Christina Mlynski, HousingWire)
– Fannie Mae Regulator Extends HARP Refi Program Through 2015 (Clea Benson, Bloomberg)
HARP QUALIFYING INSTRUCTIONS – HARP Qualifying Checklist – fast Reference variation (TheBasisPoint)
– the HARP that is complete Eligibility (Dan Green, TheMortgageReports)
– HARP 3: Proposed HARP Upgrades & Who May Qualify (Dan Green, TheMortgageReports)
HARP REFINANCING: 5 KEY ISSUES TO ASK THE LOAN OFFICER by Craig Reynolds
Are you currently contemplating HARP refinancing, but they are maybe not certain that you will be entitled to this home loan program? Have actually you attempted to be eligible for the HARP system without success? When your answer is “yes” to either of the concerns, it is necessary which you not just educate yourself in regards to the Home Affordable Refinance Program (HARP) qualification recommendations, but which you find that loan officer (LO) who has got a whole comprehension of these tips.
HARP is made for property owners who possess were able to remain on top of the mortgage repayments, but that are underwater with a home loan financial obligation that is higher than just what their property is currently worth. With respect to the situation, the HARP home loan system might function as refinance choice which will help save your self these property owners – property owners as you – from drowning.
Having said that, to benefit from a HARP loan, you will need to qualify. To find out your eligibility and also to make sure which you have actually the best loan officer to do the job, you’ll want to pose a question to your LO these 5 important HARP refinancing questions:
(1) Does HARP refinancing connect with condos or leasing home? Yes, it can be utilized to refinance either a flat or leasing property. Locate a loan provider or a participating bank in the national country that will get this take place. Try not to be satisfied with a loan provider who cannot or will perhaps not refinance these properties.
(2) are you going to accept home loan insurance coverage transfers? Your loan officer should accept home loan insurance coverage transfers, no matter whether or perhaps not you have got lender paid home loan insurance coverage (LPMI) or personal home loan insurance coverage (PMI). If they are maybe maybe not accepted, look for a LO who can accept home loan insurance coverage transfers.
(3) Have you got loan-to-value financing limitations? Some lenders follow old guidelines and implement a loan-to-value ratio (LTV) limitation of 105%. Nevertheless, the LTV laws when it comes to HARP program have actually changed. You will find only LTV limitations on loans which are more than the usual 30 term and on adjustable rate mortgages year. Besides that, for as long while you have actually a brand new fixed price home loan that is significantly less than or not than the usual 30 12 months term, you’re not susceptible to limits. Consequently, if for example the LTV is in more than 105%, go with a lender who since access to raised LTVs.
(4) Does my present home loan make me personally a qualified prospect for HARP refinancing? To look for the reply to this concern, your loan officer should be aware that to be able to qualify, you need to meet the criteria that are following
– Your home loan must certanly be assured or owned by Fannie Mae or Freddie Mac.
– you really must be present on your own home loan repayments the past complete year (12 months).
– you mustn’t have formerly refinanced underneath the Home low-cost Refinance Program, unless it absolutely was a HARP loan that happened between March and could of 2009 and was refinanced by Fannie Mae.
– at the moment, your home loan should have a LTV that surpasses 80%
– Your home loan should have been offered to Freddie Mac or Fannie Mae on or just before might 31, 2009.
(5) Is an assessment required? an assessment may possibly not be necessary as you might qualify for an assessment waiver. Select an LO whom knows the procedure that is proper entering your details with the Freddie Mac or Fannie Mae automated underwriting systems. This method will figure out if you be eligible for an assessment waiver and it’s also something which your LO have to do.
Maintain the above five concerns at heart whenever you check out that loan officer to find out your HARP refinancing eligibility. Only a few loan providers have actually the appropriate comprehension of HARP certification directions. The homeowner met the program’s guidelines in fact, there have been cases where lenders have created underwriting overlays that caused the homeowner to be denied, when in actuality.
Therefore, when you’re armed using the information that is right there is an expert that has the mandatory HARP system and is going to be in a position to act in your absolute best interests.
Craig Reynolds is just a mortgage that is seasoned veteran with more than 15 years expertise in handling and loan consulting. More details here. ___ Follow The Writers