HARP Refinance: Program Ending Soon?

capitolMany people who own a home have seen on the news something about the Home Affordable Refinance Program and are wondering if they can qualify.  When people visit the official Harp Eligible website, they may be surprised at how many people can qualify for the official HARP refinance program and save money on their mortgage.

The Home Affordable Refinance program was announced by President Obama in March of 2009 and it has become one of the most popular refinance programs in the last couple of years for people all across America.

The HARP 1.0 program had modest success due to loan-to-value restrictions and was modified to HARP 2.0 in 2011 when it was announced that loan-to-values could be higher than 125%. Currently, there are multiple lenders that will do a HARP refinance for “unlimited LTV” which means it doesn’t matter how far under water your home is, it will not be a determining factor in qualifying for the HARP program.

Currently the HARP 2.0 refinance program is scheduled to end on December 31, 2014.

The HARP program is set to expire at the end of December 2015, so it is important to act fast

With not much time remaining for homeowners to take advantage of historically low rates, many people are not waiting to the very last minute to see if they are eligible to save money.

Mortgage rates have remained low for most all of 2014, but could rise at any time – and rising rates means a missed opportunity to save money.

HARP Refinance Interest Rates

HARP refinance rates are just like any other mortgage rate: they change frequently and can be different for each lender. Mortgage rates move up and down constantly and each lender will change their rates daily or even multiple times each day. Because of these moving rates, it is best to have all of your paperwork in order when checking your eligibility for the HARP program and just because you may not be eligible for the HARP refinance program, it is possible that you can qualify for other government sponsored refinance programs if you have an FHA or VA loan.

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President Waived Refi Requirements?

With the HARP refinance program, the President has worked with banks to eliminate some of the traditional refinance requirements. One of the biggest requirements that many lenders have waived is something called the loan-to-value percentage.  Traditional conventional refinance programs have strict loan-to-value requirements, but under the HARP program, many lenders have waived these requirements.  This means if you currently owe more on your mortgage than your house is worth, it is still possible to qualify for the HARP refinance program.

How Much Could You Save?

refi_savings4According to statistics from the White House – the average family can save approximately $3,000 per year by refinancing at today’s low rates.  Since the HARP program was announced, about 1.5 million homeowners have taken advantage of the program, but approximately 4 million homeowners are eligible to refinance and save money but still haven’t done so.

Check Your Eligibility

The easiest way to check your eligibility for the HARP refinance program is to use a free site such as HARPEligible.com where you can be matched with up to four HARP approved lenders that can verify your information and help determine exactly what you could be eligible for.  Sites like HARPEligible.com are free to consumers and can be used to quickly determine exactly how much money you could be saving each month.  Since the HARP program is currently scheduled to expire soon and if you are eligible for the program, it may take a month or so to actually get your new mortgage payment amount – time isn’t something you really can afford to waste.

See If You Are HARP Eligible »