Thursday, February 2, 2012

            HARP Program Offers Refinance Options!

There's no denying that there are many homeowners out there with "under water mortgages" . Fortunately, there is hope for these people through the HARP program. They can still refinance their loans with a lower cost affordable mortgage by utilizing the Home Affordable Refinance Program (HARP). This program was recently revised and extended until December 31, 2013.  This should be seen as welcome news to many individuals who currently have their Lawrence KS Homes for Sale and are either selling on a "short sale" basis or are facing a foreclosure.

Established in 2009 for Fannie Mae and Freddie Mac-owned mortgages, the HARP program provides this option for homeowners to refinance "under water mortgages." The program addresses situations where the home owner's property value has fallen below the mortgage balance causing the owner to no longer qualify under traditional underwriting criteria. This could be a better option for those thinking about how they can sell their Lawrence KS Homes when they owe more than the market value shows.

New HARP guidelines were recently announced by Fannie Mae and Freddie Mac. Both of these (Government Sponsored Enterprises) GSEs have posted details of the program modifications and procedural changes on their websites. Please contact your preferred lending institution for more information. The guidelines on the websites will assist the lenders with getting your refinance completed correctly.
If we can slow down the number of foreclosed homes hitting the market and then being sold for less than market value, then we will have an increased chance of seeing the home values go up. For those currently marketing Homes for Sale in Lawrence KS area, this would come none to soon. 

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