HARP

HARP

HARP also known as the Home Affordable Refinance Program is considered to be a refinance program through the federal government to help underwater and near-underwater homeowners to refinance their mortgages. HARP helps homeowners refinance their mortgages at today’s low mortgage rates even if they owe more on their mortgage than their home is worth. HARP’s goal is to allow borrowers to refinance to a more reasonable or stable mortgage. Most borrowers who are eligible for a HARP refinance are able to reduce their monthly mortgage payment by potentially lowering the interest rate on their mortgage.


There are many reasons to why a borrower would want to refinance with HARP. Some of those reasons could include: HARP could potentially lower your monthly payment, reduce your interest rate, get a fixed rate mortgage that won’t change over time, you could build equity faster with shorter term options, and save time and money with no appraisal required. You could be eligible for HARP if you meet certain criteria; that criteria consists of: the mortgage must be owned or guaranteed by Freddie Mac or Fannie Mae, the mortgage must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009, the current loan to value ratio must be greater than 80%, the borrower will need to be current on the mortgage at the time of the refinance, and the mortgage cannot have been refinanced under HARP before. Contact your current loan servicer to find out if you are may be eligible for the HARP program.