Refinance With No Appraisal - It's True! Mortgage Options Colorado
If you are under-water on your mortgage, you are in luck. The government has approved an expansion of the HARP Refinance Program that among other things allows home owners to refinance with no appraisal.
It seems counter-intuitive that in today's age of extremely tight underwriting requirements by banks, that they would loosen things up to allow for such an aggressive plan as a refinance with no appraisal. However, the government got involved to make it happen, and it appears they may have gotten this one right.
The HARP refinance program, designed to help individuals with Fannie Mae and Freddie Mac mortgages refinance into a lower rate and payment, previously had a cap of 125% of the home's value. In some cases, borrowers could obtain a property inspection waiver and avoid an appraisal, but in most cases, especially for people who were upside-down on their mortgage, an appraisal was deemed necessary. With the new changes, a refinance with no appraisal is possible in most cases, as long as the property address can be verified.
If you think you qualify for a HARP refinance with no appraisal, the first step is to check with the Fannie Mae Lookup Tool or the Freddie Mac Lookup Tool to see if your mortgage is owned by one of the entities. Your current loan must also have closed prior to May 31,2009.
There are a couple of other Refinance with no appraisal programs available now as well:
VA Refinance With No Appraisal: VA is still doing a Streamline (IRRRL) refinance with no appraisal under certain restrictions. We can help you determine if you are eligible.
FHA Streamline Refinance with no appraisal: FHA streamline refinances can still be done with no appraisal, but the guidelines have changed slightly. If you choose to refinance with no appraisal, you can't roll in any closing costs to the new mortgage. However, in most cases, we have been able to help our FHA clients with no closing cost refinances making this type of refinance viable.