Do You Qualify for HARP 2 Refinance?

Understand What HARP2 Offers 

If you qualify for the new Home Affordable Refinance Loans (HARP2), it is important to understand who offers the program and what you can expect from lenders. Unfortunately, a number of borrowers who actually qualify for the new HARP2 refinance are being turned down by their lenders. For various reasons, some lenders are not actually willing to offer what the program guarantees. However, there is still a good chance that you can be approved.

HARP2 loans are being offered by Fannie Mae and Freddie Mac. Borrowers need to know that most lenders who are not mortgage brokers must underwrite to their companies specific guidelines. This means that  borrowers are turned down if HARP loan does not meet these guidelines. Although Fannie Mae and Freddie Mac are offering these new loans with a wide range of parameters for what they will guarantee, lenders will actually narrow down what they are willing to offer. Because of this, borrowers who do qualify for the Fannie Mae and Freddie Mac loans are being told by lenders they do not qualify simply because these lenders do not offer the full range of HARP loans. The reasons for this can be due to the borrowers having something which the lender does not accept such as MI, or they may be at a loan to value over 125%, or a number of other issues.

Ben Lucero of Indigo Mortgage states, “The fact is borrowers are not getting a fair shake and are either turned down by the lender or are converted to a different loan outside the HARP.”

The good news is that mortgage brokers such as Indigo Mortgage have access to many different companies that offer a wider range of what Fannie Mae and Freddie Mac will guarantee. A borrower’s chance of refinancing with the HARP2 program is greatly increased by using a broker like Indigo Mortgage.

According to Ben Lucero, “I like to call Indigo Mortgage the HARP headquarters as we will fully investigate what options are available to borrowers and find a lender who will offer what the borrower needs to refinance.”

If you are interested in the new HARP2 loans, please contact Indigo Mortgage at 505-280-1425 or 505-550-6824.