Is a Low Rate Easy Refinance Mortgage Relief in 2012?
Just barely recuperating from a real estate crisis, 2012 has become the year of the refinance. This is not a new year on the Chinese calendar though. It is America’s mortgage relief program which has hit it big in 2012.
Historically low rates have met with easy refinancing programs which were created for high LTV mortgage loans. The Home Affordable Refinance Program and the FHA Streamline Refinance Program are two mortgage programs which are offered by government entities. Both programs allow for easy refinancing with a high LTV. They require little to no information about the home or borrower.
HARP Refinance Program
The Home Affordable Refinance Program, which is better known as HARP and HARP 2.0, allows homeowners with a Fannie Mae or Freddy Mac held mortgage note to refinance easily. The only catch is that they must be current on their mortgage payments for 12 months. This has become the #1 most defaulted on loan in 2012 however. Since this is the mass majority of homeowners it is mainly caused by a horrible job market.
FHA Streamline Refinance Program
The Federal Housing Administration offers FHA Streamline Refinances for homeowners with an FHA loan. This program requires little to no information from the borrower. There is no appraisal either. The main catch is that you must already have an FHA insured mortgage loan. FHA Streamlines are one of the best loans available today.
Refinancing for Everyone Else
If you are not eligible for one of these two government refinancing programs you are more than likely not refinancing your home loan. These two programs cover almost everyone and anyone who is not covered will soon be able to refinance with requirement updates for the two programs. More likely than not though, you are either getting foreclosed on or looking to purchase a home if you are not refinancing with the HARP program of FHA Streamline program.
Although this sounds like mortgage relief for 2012 it really is just the job market catching up to government mortgage programs. That is the easiest way to look at it. If you are looking for an easy refinance you should speak with a direct mortgage lender. They are the person that can answer your questions about available programs for your specific situation. Not only will a direct lender have the right information, they will also have the lowest possible rate and fees.