Back in 2009, millions of homeowners were underwater owing more than what their homes were worth. As a result, they didn’t have the option to refinance their homes and the banks wouldn’t help them. The government hoped to help 4 million homeowners by launching HARP (Home Affordable Refinance Program), but it only helped roughly 1 million of the projected 4. The government rolled up their sleeves, and went back to the drawing board and released the sequel HARP 2.0, which has proven to be significantly more useful and helpful than its flop of an original. If you have considered doing a Florida Harp Refi, now is the perfect time to find an experienced expert who can set you on the path to refinancing your home, and improving your lifestyle by letting you keep extra money in the bank.
When HARP 2.0 was launched, it was met with much doubt. However, it has continued to gain ground and is proving to live up to the expectations first held for its failure of a predecessor. In an article by The New York Times, the author writes that in the first quarter, HARP loans accounted for about 14 percent of all refinancing activity on loans backed or owned by Fannie Mae or Freddie Mac, according to Inside Mortgage Finance. That’s up from about 12 percent of refinancing activity for each of the last two years.
Am I eligible?
If you are a borrower with a loan-to-value ratio of less than 125 percent, perk up your ears. If you are underwater on your mortgage, you may be able to refinance without paying down principal and / or without having to pay mortgage insurance. In order to be eligible for HARP 2.0 your loan must be backed by Fannie Mae or Freddie Mac and your current mortgage must have a securitization date prior to June 1, 2009. If you meet both of these criteria points, you may be eligible for HARP. However, if your mortgage is an FHE, USDA or a jumbo mortgage, you are not eligible for the HAPR program. Another disqualifier would be if you refinanced your home under HARP 1.0. Also, the loan on your home must be for at least 80 percent of the home’s value. You also must have a good payment history for the last 12 months. But if any of these red flags appear in your qualification court, don’t be discouraged; contact a reputable mortgage broker and see what programs you do qualify for, or what options will best meet your needs.
Do your research
Refinancing your Florida home with HARP way be the solution to all of your financial woes. If you are unclear even after reading this article as to whether or not you would qualify for HARP 2.0, then do some online research and contact an experienced brokerage that specializes in refinancing homes and helping people get out of debt. Now is your time.
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