HARP 2.0: Introducing Looser Refinance Rules

There are three new mortgage programs that are making waves in the mortgage world right now.  To call them “new” is a bit bold – they are actually new rules for loan programs that have been around for awhile. It’s hard to believe, but the HARP (Home Affordable Refinance Program — thanks congress!) mortgage has been around for three full years now.  I would say that it has been a moderate success in this time, but there has been a fairly massive overhaul to how this mortgage works, and now we’re seeing many more families now being able to qualify, who previously were shut out of being able to refinance.

Ladies and Gentlemen, I give you: HARP 2.0

The HARP loan was always great about not making a big deal about how horrible your house just appraised, but with HARP 2.0, they’re just giving up all pretense of pretending and waiving the appraisal requirement entirely.  That’s right, refinance with NO APPRAISAL!  We don’t even WANT to know how bad it is!

Another great new feature with HARP 2.0 is that they now allow mortgage with PMI (Private Mortgage Insurance) to be refinanced.  Let me say that again:  loans with private mortgage insurance can now be refinanced through this program – also with no appraisal.  Earlier I mentioned three new loan programs, and HARP 2.0 is actually two of the three, because HARP 2.0 refers to both Fannie Mae Du Refi Plus mortgages , as well as Freddie Mac Open Access mortgages.  These two are similar, but not exactly the same.  Let’s just say that if you find yourself in the Fannie Mae pool, to be grateful (the Freddie Mac version of this HARP 2.0 needs to get some kinks worked out, in my opinion).

I’m so excited about this loan program that I gave it its own special page on this blog underneath the “Mortgage Programs” header: HARP 2.0 Details

Just when you thought that refinancing with no appraisal for even a loan with mortgage insurance was just too bonkers, I’m not even done yet!  That crazy old FHA mortgage program has also come out with a similar type of deal.  The FHA streamline mortgage has had a fairly major overhaul, and is now far more simple and easy.  If your loan was endorsed by the FHA (meaning that it was officially insured by the FHA) prior to June 1, 2009, you are in for a real treat. I gave this New FHA Streamline its own page tooNew FHA Streamline Details.

Next time you have questions about your mortgage or home loan, just ask! Contact James Adair at Portland Home Loan.

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