We have a months worth of data to share after the March 19th HARP 2.0 changes were introduced.
♦ It was speculated that the Loan to Value (LTV) would have no cap, the reality is that you can now finance up to 150% of the value of your home. This is an increase from the previous cap of 125%.
- Keep in mind that there are some factors that effect Condominiums and Adjustable Rate Mortgages (ARMs).
♦ If you have a 2nd mortgage, don’t worry! We have lenders that do NOT care about the total overall LTV.
♦ 80% of the applications we have run though the Automated Underwriting process have NOT required an Appraisal.
♦ Investment properties are now eligible for the HARP program.
Like most government initiated programs, there is a difference between the initial concept and the reality. However the positives significantly outweigh the negatives in this program.
We also continue to hear stories of other banks taking months to get loans closed. The refinance process is now taking us about 45 days from start to finish.
Please forward or share this to anyone you know who may benefit from this information, and give us a call so we can walk you through it and answer any questions!
Posts tagged LTV
HARP 2.0 Improvements!!!!
HARP 2.0 Guidelines Released
The 2011 HARP guidelines have been released! Here are the key points:
- Current LTV(loan-to-value) cap of 125% lifted
- Appraised value will not matter!
- The current price adjustments based on equity (or lack thereof) will be reduced or even eliminated
- Really helpful for those far underwater or with a 2nd Mortgage
- Loan amount less than 125% LTV – Refinance after 12/1/11
- Loan amount greater than 125% LTV – Still waiting on guidance from lenders
- Program at full capacity by March 2012
If you closed on your current mortgage before 5/31/09, you must look into refinancing. All excuses are officially off the table, and if your loan is backed by Fannie Mae or Freddie Mac, YOU CAN REFINANCE!
HARP Program Is Heating Up
APPRAISAL RELIEF IS HERE!!!!
The #1 reason consumers have not looked into mortgage refinance options is that darn appraisal. Concerns the home will not appraise at a high enough value to refinance and the possible lost of money spent on the appraisal has just been too risky for most consumers. The good news is that those concerns are now gone – APPRAISALS ARE NOT REQUIRED
Here is the deal: If you have been in your loan prior to 5/31/2009, you MUST look into refinancing your mortgage. The appraisal is now going to be a non-issue and rates are substantially lower.
If your current loan closed after 5/31/2009, you can still look into refinancing, but you’ll have to have equity.
Formal guidelines to the HARP changes will be released on November 15th, 2011. Call us now to get a head start on understanding your options as the floodgates are just about to open up.
Find out more details on Obama’s 2011 HARP Guidelines here.
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