New Twist on HARP 3.0 Program

HARP 3.0 #MYREFI : What The New Recovery Means for HARP 3.0
Mortgage rates and markets change constantly. GET HARP Qualified:

Over the past few weeks as mortgage interests rates climbed it looked like the HARP 3.0 was on life support. However, a glimmer of hope has begun to pierce the clouds of doom and gloom those left without viable refinance options. Even though they have been faithful in their payments throughout the total loss of equity at the hands of the huge banks that gamed the system against them there may be a twist to help them. It seems that with the housing market rebound, talk for a HARP 3.0 program is growing louder.

As LTVs for HARP loans fall, the program’s reach may grow limited — especially because the Home Affordable Refinance Program does not allow for loans with loan-to-values below 80%. For this reason, Congress may be moved to make changes to the Home Affordable Refinance Program in order to augment the number of HARP-eligible households.

Potential HARP modifications include extending the Home Affordable Refinance Program to mortgages not backed by Fannie Mae or Freddie Mac; changing the HARP mortgage eligibility cutoff date sometime into 2011; and allowing homeowners who have used the HARP program once to “re-HARP”. That is, to refinance a loan which has already been HARP-refinanced.

There is no timetable for when HARP 3.0 will be official. Contact your Senator or Congressman today. Here’s a link for more information.
The HARP 3.0 Bill – H.R. 736: Responsible Homeowner Refinancing Act of 2013

The rumored program was born January 2012, conceptually introduced in the president’s State of the Union address. Since that date, the notion that “every responsible homeowner” should be able to refinance to today’s low rates has gained traction.

In some form, it’s likely that HARP 3.0 will pass soon. The government is calling it #myrefi.

Brief Rewind : The HARP Refinance Program

Home Affordable Refinance Program (HARP) is a government-backed refinance program. It was launched in 2009 as a means to stimulate the economy. At the time, mortgage rates were falling but few homeowners were able to refinance because they had lost too much equity in their respective homes.

HARP waived certain loan-to-value requirements, and close to 1 million U.S. households took advantage.

Then, in 2012, HARP was expanded. Known as HARP 2.0, all loan-to-value requirements were suddenly waived, as were proof of income requirements; proof of asset requirements; minimum credit score requirements; and, as a host of other qualifiers. In many cases, HARP 2.0 won’t even ask for a home appraisal.

The retooled HARP 2.0 was specifically designed to remove refinancing hurdles. Consider the program’s three basic requirements:
1.less than 20% equity in your home
2.paid your loan on-time for the last 6 months
3.must have been securitized prior to June 1, 2009

There’s a fourth requirement, HARP requires that your mortgage be backed (owned) by either Fannie Mae or Freddie Mac. However, with the one scenario of the rumored passage of HARP 3.0, that requirement will be no longer.

With HARP 3.0, everyone who meets the above requirements will be eligible to use HARP to refinance to today’s low mortgage rates.

HARP 3.0 : Help For Non-GSE Mortgages

HARP 3.0 is not yet passed but momentum for some version of a HARP 3 program is growing. It makes for some interesting talk. HARP 3.0 would target homeowners whose mortgages are specifically not backed by Fannie Mae or Freddie Mac.

This is a big deal because, although the Fannie Mae-Freddie Mac-FHA triumvirate controls more than 90% of today’s new mortgage originations, that wasn’t the case from 2001-2007. Last decade, non-GSE lending was a major part of the U.S. housing market.

For example, Federal Reserve data shows that Alt-A mortgages accounted for 27.5% of mortgage originations in 2005. Today, by current rules, each of these homeowners is locked out from the Home Affordable Refinance Program. HARP 3.0 would allow these Alt-A customers to refinance their home loans.

In addition, there were lots of “A Paper” mortgages that went to sub-prime investors last decade because, at the time, the sub-prime market offered lower mortgage rates than the conforming market did. Ludicrous, but true.

Conforming, 30-year fixed rate mortgage rates were 5.50 percent in mid-2005. Sub-prime 30-year fixed rates, by contrast, were a quarter-point lower at 5.25%.

HARP 3.0 would help homeowners with jumbo mortgages that, in today’s market, would not be jumbo mortgages.

Last decade, before conforming loan limits were raised to $625,500 in “high-cost areas” throughout California, Virginia, Maryland, and New York, for example, homeowners who bought or refinanced were relegated to non-conforming loan products, loans that met typical underwriting guidelines but that were too big for Fannie Mae or Freddie Mac to purchase.

After home values fell, although their mortgages met Fannie Mae loan standards; and, although their mortgages were within Fannie Mae loan limits, these homeowners were unable to use HARP 2.0 because their mortgages weren’t backed by the government. They were held by a bank, such as Wells Fargo or Bank of America.

With HARP 3.0, these “high-cost”, jumbo homeowners would get the chance to refinance.

HARP 3.0 Candidates

We don’t know when HARP 3.0 will be made official. Nor do we know who will qualify for HARP 3.0 when it’s passed. However, based on HARP history and talk from Washington, DC, we can expect it to address these loan types.

Self-employed borrower who used stated income loan for the original mortgage, and can verify their current income via federal tax returns
“Prime” borrower who used a sub-prime mortgage because mortgage rates were lower and/or fees were less as compared to a conforming one
Jumbo mortgage homeowner who lives in a “high-cost area” whose original mortgage was for between $417,000 and $625,500
A wage earner who used a stated income and/or stated asset mortgage for convenience
Sub-prime borrower who has paid mortgage as agreed and can verify income and assets
An Alt-A borrower whose FICOs were low at date of origination, but have since improved

There are literally millions of U.S. homeowners who would meet HARP 3.0 eligibility standards, opening today’s low mortgage rates to all of them. If you are not sure that HARP 2.0 will help or want to look at other options – CALL TODAY 855-200-HARP (4277)

HARP 3.0 weathers higher rates to lead refinance options

Momentum behind so-called “HARP 3.0″ is still gaining steam. Despite recent positive economic numbers and interest rate increases the Home Affordable Refinance (HARP) Program still led the way last month with a majority of refinances and mortgage transactions nationwide using the program. If the program comes to pass, here are four potential changes HARP 3.0 may include one or a combination of these program areas. HARP 2.0 may be an option for you right now – not all HARP Program Lenders have the same criteria “overlays” – CALL 855-200-4277 to speak to a HARP Loan Specialist.

HARP Change 1 : Refinance Non-GSE, Alt-A, and Subprime Loans Via HARP

In today’s mortgage market, Fannie Mae, Freddie Mac, and the FHA control more than 90% of all new mortgage origination. However, this wasn’t always the case.
Last decade, non-government mortgage lenders commanded a large share of the mortgage market and Alt-A mortgages were among the most common loans they made.

HARP LOAN PROGRAMAlt-A mortgages were typically referred to in acronym form:
•SISA loans (Stated Income, Stated Assets)
•SIVA loans (Stated Income, Verified Assets)
•Lo-Doc loans (Low Documentation Loans)
•No-Doc loans (No Documentation Loans)

Despite high profile default rates, there are still large numbers of “performing” Alt-A loans with Alt-A homeowners who are underwater and unable to refinance via HARP like their conforming homeowner peers. The same is true for sub-prime borrowers who are similarly locked up.

The case for opening HARP 3.0 to Alt-A and subprime borrowers becomes especially clear when we consider that the 30-year fixed rate mortgage was cheaper from non-government lenders in 2005 than via Fannie Mae or Freddie Mac. Large numbers of “prime” homeowners used sub-prime loans in 2005 because the mortgage rates were cheaper. Today, those homeowners are without ability to refinance and they need a voice because collectively they are “too big to fail” too.

HARP Change 2 : Allow Multiple HARP Refinances

Since HARP was first announced in 2009, we have seen the average 30-year fixed rate mortgage rate has drop close to two percentage points. However, the slide below 4 percent has been a slow one. Rates were in the 5s in 2009 and 2010; in the 4s in 2011; and in the 3s in 2012 and 2013. But they are increasing now so please call today. 855-200-HARP (4877)

As mortgage rates have dropped, hundreds of thousands of non-HARP U.S. homeowners have refinanced multiple times, lowering their respective mortgage payments up to 40 percent over the years. HARP homeowners, on the other hand, have not been afforded this right.

The HARP mortgage guidelines state that the program may only be used one time per household. Therefore, underwater homeowners who immediately used HARP to refinance in 2009 have been unable to refinance again via HARP as rates have kept dropping.

This one-use restriction takes on added significance since the Federal Reserve launched its third round of qualitative easing (QE3) in September 2012, a program through which the nation’s central banker aims to lower U.S. mortgage rates as far as possible. With mortgage rates near 3.50%, homeowners who HARP-refinanced to 5.00% in 2009 remain “locked out”.

Should HARP 3.0 pass, it could implement a feature of the popular FHA Streamline Refinance program — it could give homeowners program-eligibility after 6 payments have been made to the bank. Until then, HARP is one-use only.

HARP Change 3 : Change Cut-Off Date From May 31, 2009

Another HARP 3.0 change that could put the Home Affordable Refinance Program within reach of more people would be a change in the program’s cut-off date.

Currently, HARP’s eligibility standards require all HARP-refinanced mortgages to have been securitized by Fannie Mae or Freddie Mac on, or prior to, May 31, 2009. This is because — according to a Fannie Mae representative — homeowners whose mortgages come from after this date knew what kind of housing market into which they were buying.
The inference is that HARP was conceived to help homeowners who didn’t know any better. To most, it seems arbitrary at best.

Even so, among the homeowners who did know better, and still bought a home post May 31, 2009, the spirit of the HARP program should still apply. Many of these homeowners made 20% down payments and those down payments have since been lost to the housing downturn. Not to mention that the fed is spending to keep rates low and everyone should have a chance to benefit before it’s too late. This week rates have stabilized, but still not fully recovered. There is still time to realize some savings – so call 855-200-HARP (4277) today.

To help make HARP more uniform nationwide, HARP 3.0 could be extended to include homeowners refinancing a primary residence for which the mortgage was securitized post-May 31, 2009. There are many homeowners with mortgages from 2010 who may benefit from a HARP 3.0 refinance. Even moving the date down one year would help many homeowners save money.

HARP Change 4 : Allow HARP Loan Sizes Up To $729,750

The fourth change that should be included in the HARP 3.0 refinance program is an allowance for “high-balance” loans in designed high-cost area.

Each year, the government releases its mortgage loan limits for Fannie Mae and Freddie Mac conforming loans. These figures that represent the maximum-sized loan that the government groups will agree to securitize. Loans which are in excess of these maximum loan limits are called “jumbo” loans.

Since 2006, the conforming loan limit for 1-unit homes has been $417,000. However, in 2009, as part of an economic stimulus plan, areas in which homes were deemed “expensive” were assigned a temporary conforming loan limit increase to $729,750 which was to last until September 30, 2011.

For over two years, home buyers in areas including Orange County, California; New York, New York; and Loudoun County, Virginia could finance up to $729,750 and still be within the maximum loan size limits for Fannie Mae and Freddie Mac. Then, in October 2011, the loan limits dropped.

Homeowners in high-cost areas could no longer finance up to $729,750 with a conforming mortgage — the limit was dropped to $625,500 — leaving everyone in no-mans land whose conforming mortgage was started between 2009-2011 and which the remaining balance exceeds $625,500.

To remedy this issue, again, HARP 3.0 can take an example from the FHA Streamline Refinance playbook. So long as the original loan size was within conforming loan limits at the original closing, and so long as the refinance doesn’t include “cash out”, the loan size could be approved as-is.

This change could apply to non-HARP 3.0 homeowners, too.

Will HARP 3.0 / #MyREFI Pass Congress?

To date, it’s unclear whether HARP 3.0 will come to fruition. Rising home values nationwide have reduced some of HARP’s impact. However, the White House continues to push for it using the #MyRefi brand name. As recent as last week, new co-sponsors continue to sign on. Call your congressman and demand fairness to the help

If HARP 3.0 passes, it will be touted as a means to help millions of additional U.S. households get access to today’s low mortgage rates. HARP 2.0 made grand improvements over the original Home Affordable Refinance program. HARP 3.0 will likely do the same.

If it doesn’t pass, there are a few select options available – including the FHA Short Refinance. The best way to find out is to call or complete the request form. Not all servicer/lenders are participating, but it is starting to gain traction – HSBC, Bank of America, Wells Fargo, and One West have worked with our borrowers recently. They are done on a case by case basis.

HARP 3.0 – New Cosponsor

May 23, 2013 — Another New Cosponsor for HARP 3.0 – H.R. 736: Responsible Homeowner Refinancing Act of 2013 New Cosponsor: Rep. Zoe Lofgren [D-CA19]

HARP 3.0 may arrive, but will the rates still be there? These past few days have seen an increase in rates, but the word is that it may not last. So, the question is as you search the internet for updates and news – Why haven’t we met? You need to take action now to find out about HARP 2.0 & HARP 3.0 updates, you will be glad you did.

Not all HARP 3.0 Approved Lenders are created equal. Even if you have been told “no” before, we may have an in-house solution. Case in Point:

We are quickly becoming experts at the little known, FHA Short Refinance Program. This is for those that are NOT Fannie Mae, Freddie Mac or FHA. If your loan is owned/serviced by one of the larger lenders (Chase, HSBC, One West/IndyMac, Bank of America, Etc.) Then you may be able to get a new FHA loan and a principle reduction.

You must be underwater, on time with your payments, no bankruptcies or foreclosures. Sound like your situation? We may be able help without HARP 3.0. Call: 855-200-HARP (4277)

Here’s a full list of current cosponsors: You can read the full text here.

Bonamici, Suzanne [D-OR1]

Cicilline, David [D-RI1]

Costa, Jim [D-CA16]

Davis, Susan [D-CA53]

Ellison, Keith [D-MN5]

Schakowsky, Janice “Jan” [D-IL9]

Sires, Albio [D-NJ8]

Capuano, Michael [D-MA7]

(joined Feb 26, 2013)

Murphy, Patrick [D-FL18]

(joined Mar 13, 2013)

Holt, Rush [D-NJ12]

(joined Mar 19, 2013)

Michaud, Michael [D-ME2]

(joined Mar 20, 2013)

Slaughter, Louise [D-NY25]

(joined Apr 09, 2013)

Pallone, Frank [D-NJ6]

(joined May 15, 2013)

Titus, Dina [D-NV1]

(joined May 16, 2013)

Cárdenas, Tony [D-CA29]

(joined May 21, 2013)

Huffman, Jared [D-CA2]

(joined May 21, 2013)

Lofgren, Zoe [D-CA19]

(joined May 23, 2013)

Obama Touts HARP Program Refinance Plan

The President’s Address Breathes New Life into HARP Program for HARP 3.0
Obama Touts Refinance Plan and the Nominee to Oversee Fannie Mae and Freddie Mac President Obama’s weekly address is all about the “healing” housing market seven years after the bubble burst and how to further improve the finances of Americans and the mortgage-financing system. You do not have to be a fan of the President to take advantage, but this HARP program works without costing taxpayers.

As he has done for more than a year, Obama touted his proposal to expand refinancing opportunities for homeowners deeply “underwater” on their mortgage debt. There is already HARP 2.0 in place – See if you qualify now. (even if you have been told “no” before). There are expanded streamline programs in place right now to help.
Not all HARP Program lenders are created equal.
Call 855-200-HARP (4277)

The President’s plan would essentially expand the popular HARP 2.0 (Home Affordable Refinance Program) for borrowers whose loans are not held by Fannie Mae or Freddie Mac, the government-subsidized companies. The HARP program is only offered for eligible borrowers with Fannie Mae and Freddie Mac held home loans. But some large banks are not telling borrowers the correct information. Get the facts by discussing your loan with a HARP Program Expert today.

“As I said before, more than two million Americans have already refinanced at today’s low rates, but we can do a lot better than that,” Obama said. “I’ve called on Congress to give every responsible homeowner the chance to refinance, and with it, the opportunity to save $3,000 a year. That’s like a $3,000 tax cut.”

Obama also said his nominee to oversee Fannie and Freddie was the right choice at the right time.

Earlier this month, the President nominated House Financial Services Committee member Mel Watt, D-North Carolina, to replace Edward DeMarco as the director of the Federal Housing Finance Agency, the regulator of Fannie and Freddie, which own or back about 60 percent of U.S. mortgages.

“Mel’s represented the people of North Carolina in Congress for 20 years, and in that time, he helped lead efforts to put in place rules of the road that protect consumers from dishonest mortgage lenders, and give responsible Americans the chance to own their own home,” Obama said.

Here’s the text of President Obama’s address:

Our top priority as a nation is reigniting the true engine of our economic growth – a rising, thriving middle class. And few things define what it is to be middle class in America more than owning your own cornerstone of the American Dream: a home.

Today, seven years after the real estate bubble burst, triggering the worst economic crisis since the Great Depression and costing millions of responsible Americans their jobs and their homes, our housing market is healing. Sales are up. Foreclosures are down. Construction is expanding. And thanks to rising home prices over the past year, 1.7 million more families have been able to come up for air, because they’re no longer underwater on their mortgages.

From the day I took office, I’ve made it a priority to help responsible homeowners and prevent the kind of recklessness that helped cause this crisis in the first place.

My housing plan has already helped more than two million people refinance their mortgages, and they’re saving an average of $3000 per year.

My new consumer watchdog agency is moving forward on protections like a simpler, shorter mortgage form that will help to keep hard-working families from getting ripped off.

But we’ve got more work to do. We’ve got more responsible homeowners to help – folks who have never missed a mortgage payment, but aren’t allowed to refinance; working families who have done everything right, but still owe more on their homes than they’re worth.

Last week, I nominated a man named Mel Watt to take on these challenges as the head of the Federal Housing Finance Agency. Mel’s represented the people of North Carolina in Congress for 20 years, and in that time, he helped lead efforts to put in place rules of the road that protect consumers from dishonest mortgage lenders, and give responsible Americans the chance to own their own home. He’s the right person for the job, and that’s why Congress should do its job, and confirm him without delay.

And they shouldn’t stop there. As I said before, more than two million Americans have already refinanced at today’s low rates, but we can do a lot better than that. I’ve called on Congress to give every responsible homeowner the chance to refinance, and with it, the opportunity to save $3,000 a year. That’s like a $3,000 tax cut. And if you’re one of the millions of Americans who could take advantage of that, you should ask your representative in Congress why they won’t act on it.

Our economy and our housing market are poised for progress – but we could do so much more if we work together. More good jobs. Greater security for middle-class families. A sense that your hard work is rewarded. That’s what I’m fighting for – and that’s what I’m going to keep fighting for as long as I hold this office.

463,000 HARP 2.0 Refinances in February

(Source: FHFA) – Washington, D.C. – The Federal Housing Finance Agency (FHFA) today released its February 2013 Refinance Report , which shows that refinance volumes remained high as mortgage rates hovered near historic low levels. More than 463,000 refinances took place in February, with 97,738 completed through the Home Affordable Refinance Program (HARP). This brings the number of total HARP 2.0 refinances to more than 2.3 million since the program’s inception in April 2009.

FHFA recently announced it has extended HARP 2.0 for two more years and will soon launch a nationwide campaign to educate and encourage homeowners to learn about HARP eligibility requirements. HARP 2.0 was set to expire Dec. 31 of this year.  See if you qualify today – No Credit Check Needed to Complete our exclusive HARP Analyzer.  HARP rates are low and Closing Costs are capped and Flexible.

Also in the February 2013 report:

- Borrowers with loan-to-value (LTV) ratios greater than105 percent accounted for 45 percent of the volume of HARP 2.0 loans.  We have Unlimited LTV Programs.

 - The number of completed HARP 2.0 refinances for deeply underwater borrowers continued to represent a significant portion of total HARP 2.0 volume. In February, 22 percent of the loans refinanced through HARP 2.0 had a LTV ratio greater than 125 percent.

- Through February, underwater borrowers represented 65 percent or more of total HARP volume in Nevada, Arizona and Florida.  We serve all 50 States and the Washington DC area.

- Also in February, 18 percent of HARP 2.0 refinances for underwater borrowers were for shorter-term 15-year and 20-year mortgages, which build equity faster than 30-year mortgages. You can get quotes to explore different HARP 2.0 scenarios.  Discuss your situation with a HARP loan specialist today to maximize your savings.

- The total number of HARP 2.0 loans by state include: California (329,707), Florida (200,332), Illinois (158,822), Michigan (158,462), and Arizona (117,149).

Not sure if you qualify?  Been told “NO” before?
Not all HARP 2.0  Lenders are created equal.

HARP 3.0 May Now Move Forward In Parts Instead of Sweeping Changes

Mortgage experts recently met with White House officials to discuss housing and mortgage issues, resurfacing the possible idea of establishing a Home Affordable Refinance Program 3.0 (HARP 3.0 program). Particularly, the Obama Administration is intending to push for a HARP 3.0 program, allowing private-label loans (non-Fannie or non-Freddie owned) to be refinanced through Fannie Mae and Freddie Mac, according to analysts at Compass Point Research & Trading.  These loans are often called “portfolio” loans because they are retained in the actual lending portfolio of the originating bank and not sold to Fannie Mae or Freddie Mac – either by design on good yields or because they were niche loans that did not meet Fannie Mae and Freddie Mac underwriting standards for a variety of reasons.  These folks have had little help under HARP 2.0 but currently we can help some with our direct lender short refinance program.  If your loan is not backed by Fannie Mae or Freddie Mac there still may relief for you with or without HARP 3.0.  See if you qualify HERE.

HARP LOAN PROGRAMWhile it remains to be seen if such a structure will develop, the administration is currently in talks about changing the eligibility date for HARP refinances. However, economists firmly believes two distinctive issues are at hand. “While observers should remain cognizant of the potential for a focused public relations push to expand the HARP in the near future, we remain skeptical that the White House will spend the political capital necessary to accomplish either the creation of a non-agency refinancing vehicle or a change to the HARP eligibility date,” said Isaac Boltansky, Kevin Barker and Jason Stewart of Compass Point. Additionally, while the White House could likely support efforts to expand HARP in numerous ways, the support will be driven by political pretense rather than policy urgencies. “We believe the observers expecting a different end to this most recent iteration of mortgage policy’s Groundhog Day will be sorely disappointed,” Compass Point noted. In comparison, Sarah Hu, chartered financial analyst of Royal Bank of Scotland stated that while HARP 3.0 has been talked about in the market for quite some time, it has not gained much traction. “Currently, HARP is only limited to borrowers with loans guaranteed by Fannie Mae and Freddie Mac as the government-sponsored enterprises already own their risk. To some extent, HARP has become the loss mitigation tools for the GSEs,” she said. As a result of congressional approval and resistance, extending HARP to include private-label loans does not seem near to reality at this point, Hu explained.  The clear fact remains that either moving the HARP eligibility date back by one year or removing the possibility of changing the date completely would be a possible HARP 3.0 scenario. “If the HARP eligibility date were to be pushed back by one year to May 2010, we estimate that between $27 billion and $43 billion in unpaid principal balance of mortgage debt could be re-HARPed,” analysts explained.

So it seems as you wade through all the industry talk, that they will most likely work to extend the HARP eligibility dates back to allow for additional HARP loans under a modified and streamlined HARP 3.0 program.   This will help some, but not all.  Not sure where you stand?  Not all HARP Lenders are the created equal.  Take advantage of our years of HARP expertise – start the conversation by clicking above.



NJ Homeowners Taking Advantage of Extended HARP 2.0 & 3.0 Updates

I found that states other than the top of news California HARP and Florida HARP are benefiting from the Home Affordable Refinance Program as well.   We are staying busy helping underwater home owners and those that have reduced home values and incomes.  Please do not count yourself out – Not all HARP 2.0 Approved Lenders are the same.  Each bank can use program “overlays” to tighten guidelines, We can do loans most others can’t.  The great news is that the program just got extended and that paves the way for HARP 3.0 revisions too.

New Jersey HARP Mortgage  Lenders, report that the Garden State saw record numbers of underwater  borrowers using the Obama administration’s Home Affordable Refinance Program in 2012, and that New Jersey HARP borrowers may have saved over $5,000 on average  last year due to the program’s ability to help borrowers slash mortgage interest rates and refinance despite how deeply their loan-to-value (LTV) ratio may have dipped during the recession.

All in all, New Jersey claimed 27,768 HARP loans in a year where the  four-year-old program saw a twofold increase in nationwide refinancers when put  in comparison with the previous three years. This data,  coming from the Federal Housing Finance Agency (FHFA), also shows that New  Jersey’s near-28,000 HARP loans equaled 42 percent of the state’s 66,168 total  HARP loans since the program’s inception in March of 2009.

CLICK  HERE to check New Jersey HARP Eligibility

This news comes in the wake of HARP 2.0, a set of provisions that the Obama  administration arranged in October of 2011 along with mortgage giants Freddie  Mac and Fannie Mae. HARP 2.0 has drastically cut nationwide interest rates on  refinanced homes—so much so that a recent study from last year puts the average interest rate on a New Jersey home at 3.5 percent, whereas it may have been closer to 6.5 percent in 2008 before the advent of HARP.

That same study put the average mortgage loan for New Jersey homes at  $249,430 in 2012. Using this average mortgage amount, one can calculate that  while a loan with 6.5 percent interest (like in 2008) would cost a New Jersey  borrower $1,577 monthly, the same loan with the HARP-friendly interest rate of  3.5 percent in 2012 would cost a New  Jersey HARP borrower $1,120 per month.

That’s a savings of $457 a month. And while no official study has been  released to date, this breakdown of reports from highly established sources  indicates that New Jersey HARP borrowers could be saving an average of roughly  $5,480 per year through HARP. That’s more than $1,000 over the national  average.

“The highest monthly savings we have seen for a HARP Refinance in New Jersey  is  $982.00 per month.  However, the average monthly savings is  between $300.00  to $500.00 with a major interest rate reduction,” says Craig Reynolds, Branch  Manager Allied Mortgage Direct.

Reynolds points to data from analytics company CoreLogic that puts New Jersey as one of the top-ten states in the nation with the lowest  LTV ratio. “Even while the average New Jersey HARP borrower isn’t as severely underwater as they might be in another state, New Jersey still ranks as one of  the nation’s premier locations in which borrowers can save by using the HARP  program.”  It eliminates the private mortgage insurance (PMI) requirement & monthly cost for underwater homes and those with loan to values between 80% – 100% too!

In October 2011, The Home Affordable Refinance Program was updated due to an  agreement between the Federal Housing Finance Agency (FHFA), Fannie  Mae, and Freddie  Mac, making it simpler for mortgage lenders to provide refinancing to  HARP-eligible borrowers.

The Home Affordable Refinance Program (HARP) is intended to aid responsible  borrowers with streamline refinancing. It rewards borrowers, specifically, who  have been up-to-date with their mortgage payments but have seen a drop in their  home value by giving them this refinancing option.

Borrowers must fall under these guidelines to be eligible for HARP  2.0:

1) Their first mortgage loan is owned or guaranteed by Fannie Mae or Freddie  Mac. 2) The loan was sold to Fannie Mae or Freddie Mac before May 31, 2009.  3) Borrowers need to be up-to-date on their mortgage payments. 4)  Borrowers must owe more than their home is worth, or have minimal equity in  their home. 5) Mortgage payments from the borrower need to have been  promptly paid in the last 6 months. 6) No sixty (60) day late payments in  the past 12 months.

IF Borrowers do not fall into that category – Please contact us about our ALT HARP loans, including the low income doc/self employed Freddie Mac and updates on HARP 3.0.

Click HERE to check HARP  Eligibility

HARP Loan Help Desk is a nationwide online network of housing counselors, loan  professionals and lending institutions that has been authorized to participate  in the Obama Administration’s new versions of the Home Affordable Refinance  Program (HARP 2.0) and (HARP 3.0).  To talk to a HARP specialist, you can call toll-free  at 855-200-HARP (4277).


HARP 2.0 Extended – Gives Time to Pass HARP 3.0

HARP 2.0 got a boost as the Federal Housing Finance Agency (FHFA) today directed Fannie Mae and Freddie Mac to extend the Home Affordable Refinance Program (HARP) by two years to December 31, 2015. For the complete news release, please go here.fhfa

As those that are locked out of the Home Affordable Refinance Program eagerly await the passage of H.R. 736: Responsible Homeowner Refinancing Act of 2013 which picked up another co sponsor just yesterday, Rep. Louise Slaughter [D-NY25] HARP 2.0 got a much needed extension to its expiry date.  Set to expire at the end of 2013, we will now have HARP through 2015.  Please contact your congressman or senator and urge them to improve HARP 2.0 into HARP 3.0.  They need to know that extending the status quo is a good step – we need more to include more Americans that need a helping hand, not a hand out.  They have been paying on time and deserve some relief.

That being said, this HARP 2.0 extension is great news for those that ARE eligible and do not know it, or think that it is a bailout program, or burden to the taxpayer.  It has helped many people so far and can still help millions more.

HARP 2.0 is not a bailout program or a burden to the taxpayer.  It is fueling the positive cash flow into Fannie Mae and Freddie Mac.  HARP 2.0 is helping repay the taxpayers.
Are you eligible?  Take 5 minutes to speak with one of our HARP Loan Specialists today – even if you were turned down before.  Not all HARP lenders are the same.

Even though the program goes through 2015 now – do not wait.  Interest rates change daily and with good news on Wall Street – Interest rates could nudge higher.  Do not let this opportunity pass.  This HARP 2.0 extension is such great news as millions of home owners are still eligible today and have not taken advantage the benefits of the HARP 2.0 program, HARP 2.0 appraisal waivers, and HARP 2.0 Closing Costs.  Again, please do not rule yourself out without discussing your specific situation with a HARP Loan Specialist today.

State of Maryland Urging Underwater Homeowners to Explore HARP 2.0

Crownsville, MD – Tens of thousands of Maryland homeowners may be able to refinance to historically low interest rates even though they owe more than their home is worth.  (And it is good advice for us in the other 49 States too!)

The O’Malley-Brown administration has just sent more than 75,000 letters to households that may be eligible for the federal Home Affordable Refinance Program, the Obama administration’s effort to further stabilize the housing market by helping homeowners get a more affordable mortgage. HARP 2.0 expires at the end of 2013.

The state now hopes to reach homeowners whose mortgages exceed their property value, known as being “underwater”, refinance into a more sustainable mortgage through HARP 2.0.

HARP 2.0 targets eligible borrowers whose loans are backed by Fannie Mae and Freddie Mac. The program was made substantially more flexible at the end of last year, opening access to homeowners that are deeply underwater.

Homeowners who refinanced through HARP 2.0 into a 30-year fixed rate mortgage in the first nine months of 2012 will save an average of $3,000 in interest payments in the first year; that’s $250 each month!

While use of HARP 2.0 has increased, the Loan Value Group, an industry think tank, notes that a large number of potentially eligible homeowners have not taken advantage of this unique opportunity to lower their housing payment.

The group found that  83 percent of surveyed homeowners, who were recently denied a HARP by their current servicer, did in fact qualify according to federal HARP guidelines; and 55 percent of those surveyed overall, either didn’t understand HARP, found it too confusing and time consuming to explore, or haven’t bothered looking into its benefits.

For More Information about HARP call 855-200-HARP (4277) 


Making Home Affordable at or by calling 1-888-995-HOPE (4773) • Fannie Mae at or by calling 1-800-7FANNIE • Freddie Mac at or by calling 1-800-FREDDIE

HARP 3.0 picks up support from Maine

The HARP 3.0 Bill – H.R. 736: Responsible Homeowner Refinancing Act of 2013 just picked up another Co-Sponsor.

It’s an area that could really use it too, New Jersey.  Our team of HARP program specialists have helped many home owners there.
Call 855-200-HARP (4277)

The new co-sponsor is New Cosponsor: Rep. Michael Michaud [D-ME2]

HARP 3.0 should be a bi-partisan issue.  It helps many Americans regardless of party and should be passed now.

Please take some time (especially us Republicans) to get behind one of the few programs that helps home owners that are locked out of these great interest rates that the are being artificially suppressed to help the economy.  HARP 3.0 will help more people have their own personal economic recovery, saving them an average of over $3,000.00 per year on their mortgage payments and a significant amount on interest over the life of the loan.  Call your congressman and tell them its OK to support this measure and consider co-sponsoring the bill.

HARP 2.0 is a success.  In Rep. Michaud’s state, half of all mortgage refinances used HARP.  In total, last year saw more than 1.1 million refinances made under HARP nationwide, twice as much as we saw in 2011.

Do you need to wait for HARP 3.0?
Maybe HARP 2.0 can help you today. CALL 1-855-200-HARP (4277)  You will know in 5 minutes!