Posted on 03/27/2013 8:27:30 AM PDT by whitedog57
Yes, we have yet another government mortgage modification program. This makes the 15th government mortgage modification program to go along with HAMP, HARP, the Attorneys General Settlement and their various contortions.
The Federal Housing Finance Agency (FHFA) today announced that Fannie Mae and Freddie Mac will offer a new, simplified loan modification initiative to minimize losses and to help troubled borrowers avoid foreclosure and stay in their homes. Beginning July 1, servicers will be required to offer eligible borrowers who are at least 90 days delinquent on their mortgage an easy way to lower their monthly payments and modify their mortgage without requiring financial or hardship documentation.
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So, the government continues to micromanage the housing and mortgage markets instead of just letting it heal.
If they could lower the mortgage spreads instead of constantly tinkering, that would help too. They took a big jump when Fannie and Freddie were placed in conservatorship and have remained high.
HARP has worked VERY well. It lets good quality, but yet underwater borrowers refi. It’s a common sense thing that in my opinion has helped things quite a bit.
I refinanced under HARP. I have equity. I went from 6% to 4.75%. Saved me about $300/ month. But now I wish I waited. Apparently you could only use HARP once. Rates now are around 3.5%...That could let me reduce years on the term.
Coool! One can never have enough intrusive policies in place these days , y’know. what next? the gubamint buys your house, rents it back to you.. moves a few troops in the spare bedroom(s). hmmmm..
We went to Wells-Fargo again to refi, under HARP 2.0.
Turns out the original refi was under HARP. I still can't find the weasel words in the loan document.
HARP is a 1 time only refi.
Looks like I'll have to let my payments lapse....
So what’s the issue?
HARP IS a more streamlined process?
You came to refi; your loan officer saw it was HARP eligible; and used that option for you. You PROBABLY didn’t need an appraisal (some HARPS do) and got the best rate possible at the time.
And yes it’s a one time usage. But since you refied in 2010; HARP wouldn’t have been an option anyway. HARP is only for loans originated BEFORE May 2009.
I must have missed something because it appears your loan officer gave the best option available to you.
And HARP is a program for Fannie Mae and Freddie Mac; it was their loan and HARP is their program. WF just services the loan. So yes the loan had to be sold to Fannie or Freddie as is almost every loan.
I do this for a living and am very familiar with HARP!
WF or any other lender would only keep the loan if they really screwed up documenting your file and the loan was unsalable.
Thanks.
What I am reading is,that my loan must have already been freddie\fannie in order to HARP in 2010.
I just didn’t know.
That scares me even more, as I just looked all the docs again...no mention that I had a freddie\fannie going into the refi - that I can recognize. (I financed a few times before that, always to a lower rate).
Maybe it was one of those times that it happened.
It was only this last time that I rec’d notice that WF sold the note to freddie.
All loans through WF or any other major lender (really any lender including most community banks)will go to Fannie or Freddie.
Loan is closed in WF’s name; then assigned to Fannie or Freddie. As`long as WF keeps the servicing; you will be ok. That is who you will deal with for any issues.
Your loan officer did a good job it sounds like to use HARP. This is my job! HARP is the first thing I look for if someone wants to refi. It makes things much easier.
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