“This is HUGE “can I say it again! “This is HUGE” A settlement between the BIG banks and the government valued at 26 Billion will help those homeowners underwater by allowing refinancing into lower rates or by reducing the debt from their mortgage. PLUS hundreds of thousands more who have been foreclosured on will receive a sum to account for their hardships.
HARP 3.0 is on its way! This plan the president proposed in his state of Union address will give millions of Americans the chance to refinance their mortgages. This new refinance process will be streamlined to save money and time under the direction of the Federal Housing Finance Agency (FHFA). The president’s plan will do away with the appraisal when alternative automated systems can be used to determine value, saving the homeowner the cost of appraisal.
This new program will have the same benefits as HARP 2.0 but will be for homeowner whose current loan is NOT owned by Fannie Mae or Freddie Mac loan. This is something we’ve all been waiting for; we just have to hope they can deliver.
The same guidelines will apply;
1. They must be current on their mortgage and have no record of late payments within the last six months, and may only have one late payment in the past 12 months.
2. The current loan-to-value ratio (LTV) must be higher than 80%
We have no word when this new HARP 3.0 will be available…. Keep your fingers crossed!
ACMC Loan Consultant