HARP 2.0 Mortgage Program

The Home Affordable Refinance Program (HARP) is an official joint program between the Department of the Treasury and the Department of Housing and Urban Development (HUD.) HARP was created to assist homeowners who cannot obtain traditional financing due to a decrease in the value of their property. In other words, if you owe more than your house is worth, pay attention! This Loan Program is set to expire on December 31, 2013.

When property values plummeted, many homeowners came to realize that the house they now owned was worth less than the amount they still owed. In many cases, homeowners discovered this unfortunate fact while attempting to refinance their current mortgage. Time after time, borrowers would have their loan applications rejected due to insufficient collateral. It did not matter if the borrower had excellent credit, sufficient income, and had never missed a payment; if the Loan-To-Value was too high, they were not going to get a loan!

With HARP 2.0 there has been an industry-wide collaboration to eliminate the LTV restrictions and find ways to increase the number of homeowners who are able to refinance through the Home Affordable Refinance Program. Please read on to see the general guidelines of who is eligible.

How It Works:

The most basic requirement to qualify for a HARP loan is that your loan must be owned or guaranteed by Freddie Mac (FHLMC) or Fannie Mae (FNMA.) If you would like to see if your loan is owned or guaranteed by one of these government-sponsored enterprises please check out the following links:

If your loan is owned or guaranteed by Fannie Mae or Freddie Mac you may qualify for a HARP 2.0 loan if you meet the following conditions:

  • The loan must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009.
  • The mortgage cannot have been previously refinanced under HARP unless it is a Fannie Mae loan that was refinance under HARP between March and May of 2009.
  • The current loan-to-value (LTV) must be greater than 80%.
  • You must be current on the mortgage payment at the time of refinance, have not been more than 30 days late on the mortgage payment within the past 6 months, and have no more than one 30 day late within the past 12 months.

Features & Benefits:

  • No LTV restrictions on the 1st mortgage
  • Second mortgages or HELOCS must subordinate to the new 1st mortgage
  • Rental properties are allowed under certain situations
  • Appraisal requirements may be waived
  • Refinance from an Adjustable Rate Mortgage (ARM) to a Fixed Rate Mortgage

Get Started Today: Call (949) 289-7410
[an error occurred while processing this directive]