This guide will cover homeowners’ options for refinance mortgage loans. There are dozens or hundreds of types of refinance mortgage loans. Each loan program has its guidelines on refinance mortgage loans. Dale Elenteny, a wholesale mortgage account executive and a licensed loan officer at Gustan Cho Associates, said the following about HARP:
For homeowners who took advantage of the HARP 2 program, there are rumors that the government will extend the HARP program beyond the 2013 expiration date.
How the government can come up with certain specialty refinance mortgage loans from time to time. Government mortgage agencies can change the terms and conditions of the refinance mortgage loans. For example, HUD, the parent of FHA, lowered the loan-to-value from 85% to 80% on cash-out refinance mortgage loans.
HARP Refinance Mortgage Loans
HARP refinance mortgage loans was a brilliant idea by politicians. HARP I and HARP 2 were a success. Many homeowners were anticipating the government would launch HARP 3. My family and I had a very difficult time trying to cope with living with no money. There were days we could not eat or had to skip meals to conserve.
The government has been discussing launching the new HARP 3 programs since last year. HARP 3, also known as the Home Affordable Refinance Program, was the talk of the mortgage finance industry rumors that it was supposed to be launched in 2010. Whatever happened to HARP 3?
Again, homeowners refinance mortgage loans to lower their monthly payments by lowering their mortgage rates. A shrewd loan officer will review each line item per line item and get the best solution for each mortgage loan applicant. This article will discuss and cover HARP 3: The 411 on Home Affordable Refinance Program updates.
What is the Home Affordable Refinance Program?
Over 2 million mortgage loan borrowers have benefited from the HARP 2 program, the Home Affordable Refinance Program. Fannie Mae and Freddie Mac backed the HARP 2, and the main reason for this mortgage program was to rescue homeowners with upside-down mortgages. HARP is also known as mortgage loans underwater – meaning that your mortgage loan is higher than the home’s value.
Over a million homeowners did not qualify for the HARP 2 mortgage program because Fannie Mae or Freddie Mac did not own their mortgage loans. Once launched, these people would be eligible for the new HARP 3 mortgage loan program.
The HARP 2 program began in mid-2009. The HARP 3 program is similar to the HARP 2 program but would benefit homeowners who did not qualify for the HARP 2 program. To qualify for a HARP 2 program, a homeowner’s mortgage loans had to be owned by Fannie Mae or Freddie Mac before June 2009. If the mortgage loan was not a Fannie Mae or Freddie Mac loan, the homeowner did not qualify.
When To Expect HARP Refinance Mortgage Loans
The proposed new Home Affordable Refinance Program 3 would benefit more than a million homeowners whose mortgage loans are not Fannie Mae or Freddie Mac loans and whose mortgage loans are higher than the value of their homes. Here is what Dale said about HARP refinance mortgage loans.
For a homeowner to qualify for the new proposed HARP 3 mortgage program, they must not have any late payments for the past 12 months, and their mortgage payments must be current.
The government would allow those homeowners who took advantage of the HARP 2 mortgage program to RE HARP. There are many refinance mortgage loans. However, HARP loans were a special refinance mortgage loan program that millions of Americans took advantage of the program, says Dale Elenteny of Gustan Cho Associates.
Re-HARPING Refinance Mortgage Loans
By re-harping, a homeowner who had a HARP 2 mortgage loan before can qualify to refinance their homes again under the HARP program to take advantage of lower mortgage rates. Under the current HARP guidelines, those who took advantage of the Home Affordable Refinancing Program once before cannot use it again.
For homeowners who took advantage of the HARP 2 program, there are rumors that the government will extend the HARP program beyond the 2013 expiration date.
For those homeowners who did not qualify for the HARP 2 mortgage program or are interested in the proposed new HARP 3 program, contact us at Gustan Cho Associates at 262-627-1965. Text us for a faster response.
There are many different types of refinance mortgage loans. Rate and term, cash-out, VA and FHA streamline, and the now defunct HARP loans.
HARP 3 has not been launched yet, and there is no word on when, if ever, HARP 3 does not seem to ever come to market—delay after delay. Many wondered for many years if HARP 3 would ever be launched. Many mortgage professionals and homeowners who do not qualify for the HARP 2 have been waiting for the HARP 3 to be launched but to no avail. Gustan Cho Associates has hundreds of refinance mortgage loans through its network of 210 wholesale investors.
