Orange, CA (PressExposure) April 24, 2012 -- There have been exciting new changes to the Home Affordable Refinance Program. This is known as Harp 2.0. The refinance rates and refinancing process will change with Harp 2.0 because it was made to assist underwater borrowers in ways that will make lenders eager to offer the product. This was designed to allow everyone with underwater mortgages to refinance to lower mortgage rates. Freerateupdate.com can now help those borrowers that we were not able to help before, through a refinance along with new borrowers.
With other items like regular purchase, refinance mortgages, and interest rates mortgages, regular qualifications are still required. With Harp 2.0 there is no maximum loan to value for both a 30 year and 15 year mortgage. Beyond this, borrowers will save about $400 because they will not need an appraisal. Harp 2.0 will be rolled out March 19th through automatic underwriting. This refinance program is for anyone who has an existing mortgage through Fannie Mae or Freddie Mac exclusively. The mortgage must be in good standing with no late payments. The borrower must be underwater which means they owe more on the mortgage than what the property is valued at.
Now, the main objective is to lower the client's monthly mortgage payment. Because of this Fannie Mae requires a minimum credit score of 620 coupled with a maximum debt to income ratio of no more than 45 percent when the new mortgage is raised the principal as well as the interest payment by upwards of 20%. If this is the case, verification of income and assets to close, if needed, are required. Any borrowers who've had a foreclosure or bankruptcy do not have to meet the standard waiting time period and re-establishment of credit for a Harp 2.0 refinance.
Freerateupdate.com makes consumers aware of lower mortgage rates that are readily available. Consumers do not have to submit their social security number to obtain the information. This is a great place to find the very best rates for the home loan you are looking for. FreeRateUpdate.com surveys more than two dozen wholesale and direct lenders' rate sheets to determine the most accurate mortgage rates available to well qualified consumers. If you would like more information please visit the website or contact freerateupdate.com today!