For those of you who have tried over the past few years to help your clients, this letter might shed some light. I will keep you posted on the results of it if I am lucky enough to get a response.
Recent sent letter to MakingHomeAffordable (Hope Program):
To Whom It May Concern,
My name is Ron Giannamore I currently am a Board member for a local non-profit agency approved by HUD and NeighborWorks. I also have managed a mortgage brokerage company over the past 22 years which is currently licensed in 4 states. My question is directed at getting information to better help and support borrowers throughout the country with providing realistic solutions to help them save and better understand the Making Home Affordable initiative.
I am referring specifically to the HAMP & HARP programs and although both these programs seem like they would make an extraordinary difference for many home-owners it almost seem impossible to get approved or find a lender to lend under them. From our perspective we feel that most lenders, that the government has identified and confirmed their participation in, have confirmed their participation only on the (disposal of asset side) as opposed to the lending side of the business. Without having lenders to participate on the lending side, especially with borrowers who've never been late, still have good assets, but are greatly underwater this is and will be a failed program. Most borrowers we work with are at least 10-40 percent underwater and have not been able to get their servicing company or lender to participate on the lending side, especially under HARP.
We currently have some national lenders who participate in LP Relief Refinance program (Freddie Mac) and also DU Refinance PLUS which target borrower who's mortgage balances are upside down compared to their current property values and under the these two programs and the lenders we participate with the maximum LTV is only 105%, not the 125% as identified under the HARP program GUIDELINES that are being promoted by the government and the Making Home Affordable initiative. We deal with some of the largest national lenders in the country and none of them will lend more than 105%.
I am extremely hopeful that your organization can provide us with a list of lenders who you know and/or have confirmed are lending up to the 125% limits. At least we can begin to direct these borrowers to these lenders if we ourselves will not be able to help.
Our office has fielded over 500 calls over the past 2-3 years trying to help borrowers and we are getting more calls every day and would like to come up with at least some kind of solution other than to telling them that they are wasting their time and that although the Making Home Affordable Idea does exist there truly is not lender in the country lending on such terms as identified under the program guidelines, at least that we are aware of.
Please help in our efforts to support these home-owners!
Thanks you in advance of your help and support!