Home Affordable Refinance: Making Home Affordable Refinance Program
It is recommended that you avail the benefits offered by the Making Home Affordable Program which is supported by the federal government, and restructure your existing mortgage loan to make it more affordable to repay. The Making Home Affordable Program consists of two main parts: The Home Affordable Modification Program (HAMP) This option makes it possible to restructure or modify your existing mortgage loan, and make it more affordable to repay by reducing the monthly repayment amount and/or extending the loan repayment time or the loan tenure. The Home Affordable Refinance Program (HARP) The HARP mortgage refinancing option supports the refinancing activity which makes it possible to change your existing mode of mortgage interest rate, and make your repayment options easier to cater to. One has to become eligible, or qualify for the HAMP or HARP to avail the benefits.
The loans and debts management experts will help you become eligible for your HAMP or HARP benefits. The Home affordable refinance e Program (HARP) presented by the Obama administration in 2009 intends to provide opportunities for American homeowners facing delinquency problems to avoid foreclosures and bankruptcies, and keep their homes. It is possible for home owners to restructure or change their existing mortgage loan terms and conditions and avail favorable loan repayment conditions through the making home affordable refinance program. It is important to become eligible for the program – you need to qualify. Refinancing helps the applicants in becoming eligible for the mortgage refinancing benefits.
The basic requirements are as follow: You should own or occupy a 1 to 4 unit home. The mortgage and broker experts can help you by providing sound and correct advice as well as information related to home affordable refinance guidelines, and what type of documents you are likely to need for your refinance application. Your current mortgage loan should be either owned or guaranteed by Fannie Mae or Freddie Mac. This criterion needs to be fulfilled as it happens to be one of the main pre-requisites for your refinance application. In case your existing loan has not been guaranteed, or taken from Fannie Mae or Freddie Mac, the loan experts will analyze your financial conditions and help you in availing the refinancing facilities. You should be paying your monthly mortgage payments regularly, and should not be more than 30 days late on your loan payments in the last 12 months.
HARP loan limits have been set at $417,000 for the time being. There is a vast group of Americans that owe more on their mortgage than their house value is worth after real estate values dropped. Another group of Americans are not “upside down” in their mortgage, but they cannot refinance conventionally because refinancing 80% (% most lenders use) of the home’s current value does not allow them to even pay off the existing mortgage.
The Home Affordable Refinance Program may finally be the solution that many Americans have been looking for. Past government refinance plans like Hope for Homeowners and FHASecure were unable to help the average borrower refinance because they could not qualify due to lending program glitches. FHA refinance may still be a good fit for borrowers who have credit scores below a 620, but the borrower must be able to display compensating factors. Like conventional and FHA mortgage loans, pay stubs are required, and borrowers must be able to document that they have the ability to afford the new loan payments