Monthly Archives: April 2013

FHFA Extends HARP to 2015


The Federal Housing Finance Agency (FHFA) on April 11, 2013 directed Fannie Mae and Freddie Mac to extend the Home Affordable Refinance Program (HARP) by two years to December 31, 2015. The program was set to expire December 31, 2013.

“More than 2 million homeowners have refinanced through HARP, proving it a useful tool for reducing risk,” said FHFA Acting Director Edward J. DeMarco. “We are extending the program so more underwater borrowers can benefit from lower interest rates.”HArp Photo1

In addition, FHFA will soon launch a nationwide campaign to inform homeowners about HARP. This campaign will educate consumers about HARP and its eligibility requirements and motivate them to explore their options and utilize HARP before the program ends. HARP is uniquely designed to allow borrowers who owe more than their home is worth the opportunity to refinance their mortgage. Extending the program will continue to provide borrowers opportunities to refinance, give clear guidance to lenders and reduce risk for Fannie Mae, Freddie Mac and taxpayers.

Here are some of the requirement to be eligible for a HARP 2.0 refinance:

  • Your mortgage must be securitized by Fannie Mae or Freddie Mac. NOTE: this is different than who you make your mortgage payment to (your mortgage servicer). You may be making your mortgage payment to a big bank and your mortgage is securitized by Fannie or Freddie.
  • Your mortgage must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009. This is not the same as your closing date and takes place sometimes several weeks after the closing of your loan.
  • Your mortgage cannot have been refinanced under HARP previously unless it is a Fannie Mae loan that was refinanced under HARP from March-May, 2009.
  • Your current loan-to-value (LTV) ratio must be greater than 80 percent. It doesn’t matter how “under water” your home’s equity is! Often times, no appraisal is required.
  • You must be current on your mortgage payments with no late payments in the last six months and no more than one late payment in the last 12 months

You can click this link to use the Fannie Mae & Freddie Mac look up tools to see if your loan is owned by Fannie Mae or Freddie Mac.  http://www.harp2lender.info/

Fannie Mae and Freddie Mac have helped approximately 2.2 million borrowers refinance their homes since HARP was introduced by FHFA and the U.S. Department of the Treasury in April 2009.

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