On November 15th, Fannie Mae and Freddie Mac will release the updated guidelines for the Home Affordable Refinance Program (HARP) to help more homeowners refinance. So far, 900,000 borrowers have been able to take advantage of the program. Those homeowners will not be able to refinance with another HARP loan a second time. The program is open to borrowers for mortgages originated prior to June of 2009. As of now, you are able to finance up to 125% of the property’s value. We can expect the loan-to-value ratio to increase above 125% also known as “being underwater”.                            

54% of the homes in and around Phoenix are underwater. It’s the second worse market in the country behind Las Vegas where 64% is underwater! About a third of the homes in Tucson are underwater.

The Fed is determined to keep rates low so borrowers can take advantage of the savings and Fannie Mae and Freddie Mac are removing restrictions to the program helping more homeowners stave off foreclosure.

Related posts:

1. HARP – Help for Underwater Homeowners HARP stands for Home Affordable Refinance Program. Eligible borrowers...
2. Observations From The Front Lines Get Your Government Hands Off My Mortgage Industry! Bank regulators...
3. How Come It’s So Hard To Refinance? I got a call the other day from a potential...

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