The initial thing you have got to see will be your newest financial and your fee background. To-be qualified to receive new HARP program, you should be current on the home loan repayments. Additionally, you can’t have any repayments which were more a month late within the last half a year, no multiple overlooked fee over the past a dozen months.
Bank
One home loan we wish to re-finance courtesy HARP should be secured otherwise owned by Frannie Mae otherwise Freddie Mac computer. If you aren’t yes which lender have your mortgage loan, you should check your Freddie Mac or Frannie Mae financial updates.
Mortgage Form of
Getting qualified to receive the fresh new HARP system, you could potentially just have a traditional financial. Almost every other mortgage selection such as the USDA, FHA, or Virtual assistant home loan aren’t accepted towards the HARP top cash advance Arkansas refinance program.
You to Have fun with
You elizabeth possessions after. So if you have must re-finance your home by this system ahead of, you may not be able to refinance an additional day.
Origination Date
Your own home loan need to have a keen origination time towards otherwise ahead of , to meet up with the needs towards the financing. You need the various tools listed above to track down the origination date, you can also name 800-7FANNIE otherwise 800-FREDDIE ranging from 8 in the morning and 8 pm east big date.
Occupancy
Your house we need to re-finance to your HARP system has actually a number of occupancy laws you have to follow to-be qualified. Our home both has to be much of your house, a single product second family, or a single in order to four equipment investment property.
Numerous facts will make new HARP refinance system a great fit for many of us. As it was in the first place made to help homeowners get straight down financial prices, this choice might possibly be a good fit for anyone who wants so you’re able to re-finance its current mortgage loans but could have been turned down from the most other lenders.
- The mortgage-to-really worth ratio is over 80% of the residence’s worthy of
- The latest resident might have been turned-down to own refinancing of the old-fashioned loan providers
- The fresh homeowner enjoys a credit score out-of 620 or maybe more (maybe not a requirement)
- Mortgage repayments was most recent
Those who Would not be a good fit toward HARP Program
With the opposite side, there are lots of those who the brand new HARP program wouldn’t be a great fit getting. While you are at the rear of or even in standard on the mortgage, you won’t getting qualified for that it mortgage system. Some other examples is:
- Brand new resident skipped one or more mortgage payment in the last one year
- They have currently refinanced using this system after in advance of
- The first home loan actually compliment of Freddie Mac or Frannie Mae
- The borrowed funds-to-worth ratio try underneath the 80% draw
Difference in new HARP, HAFA, and you will HAMP Applications
While the we’ve mentioned a lot more than, the fresh HARP mortgage is actually for a person who is newest on the Frannie Mae otherwise Freddie Mac mortgage with no one few missed costs. HARP try an entire re-finance system, which can help to reduce interest levels and present a very affordable mortgage payments. New qualification requirements was in the above list.
HAMP Program
The fresh HAMP program was designed to help people that happen to be in threat of defaulting on the current home loan to evolve and you can customize it rather than a whole re-finance. Such as for example, they are able to to extend your own loan’s repayment title, decrease your rate of interest, put your costs from inside the forbearance, otherwise switch of an adjustable interest rate to a fixed appeal speed. You must meet the following the conditions to-be believed qualified to receive this option:
- Our home should be your primary, private quarters. Any local rental otherwise capital qualities commonly greet.