You Can Still Refinance Your Underwater Mortgage!
The Federal Housing Agency has extended the HARP program, Home Affordable Refinance Program, for underwater homeowners through the end of 2015. Typically, a lender will not refinance your home if it's current value is less than the loan amount. This is great news for homeowners who owe more on their homes than what they are worth. It allows eligible underwater homeowners to reduce their payments, even if they don't have equity in their property. You may be eligible for this program if you meet the following requirements:
- You are current on your mortgage payments
- You have not made one late payment in the past six months, or made more than one payment that was late by 30 days or more in the past 7-12 months.
- Your mortgage is backed by Fannie Mae or Freddie Mac. Check Fannie Mae and Freddie Mac to determine if your loan is owned or backed by one of them.
- Your loan was taken out/sold to Fannie Mae or Freddie Mac prior to June 1, 2009.
- Your loan is for less than $417,000 (this threshold is higher in some areas such as L.A. or New York City).
Visit the Home Affordable Refinance Program website for more details and to determine if you are eligible. Do you need a reliable local lender who can help you with this process? Call me at 404-226-8484 and I will provide you with the names of a couple of lenders that I can recommend from my years of experience in the local market.