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HARP 2.0 Refinance Program - Tough Opening Day!

By
Mortgage and Lending with CMG Mortgage, San Diego, CA NMLS 259027

After several months of anticipation, the Home Affordable Refinance Program 2.0 (HARP 2.0 no appraisal refinance program) was finally unveiled to the public by Lenders across the country.  Unlike most loan programs which simply arrive without much fanfare, HARP 2.0 no appraisal refinance program has been hyped for nearly 5 months. 

The HARP 2.0 no appraisal refinance program opened to a brutal day, as the cost of interest rates significantly spiked 70 basis points:

HARP 2.0 no appraisal refinance program

Lenders across the country have invested a huge amount of money in advertising campaigns in anticipation of the release of HARP 2.0.  Most of these campaigns were aimed at being the first company to market the product upon the relese of HARP 2.0.  Today could not have been a more disappointing day for these Lenders. Below is an example of mid-day pricing increases by some of the major Lenders.  These increases were applied to the fee (points) not the interest rates. 

In the example below with SunTrust, the Points increased by 0.0333 (which would equate to nearly $1000 more in fee for a loan amount of $300,000).  This is an example of how quickly the cost of borrowing money can change!

HARP 2.0 no appraisal refinance program

We are all hoping for a strong bounce back throughout the week.

Click the hyperlink for complete HARP 2.0 Information to better understand the restrictions and limitations within the program. For more information about this program, please feel free to contact Jason Gordon at 619-200-8031 or jgordon@amerifirst.us or apply online at www.approvingsd.com

 

Comments (1)

Cameron Novak
The Homefinding Center - 1000 Palms, CA
Real Estate Broker since 2008

Hi Jason - I noticed the same thing.  Pretty large pricing swing today!  Hopefully we'll again see better.

Mar 19, 2012 04:19 PM