There has been a lot of news and interest in the latest announcement from President Obama regarding the FHFA’s decision to take a more aggressive stance on refinancing Fannie Mae and Freddie Mac mortgages. There are lots of details and I suspect not everything has been hammered out at this point. Be sure to check with your mortgage brokers for details. It seems everyone in the real estate business is excited about this news and seems to think it will help get the housing market going. I’m not so sure about that…but have you ever seen another industry so driven by the need for more government handouts? Other than health care that is…
From what I’ve read and heard, it sounds like about 800,000 – to perhaps 1,000,000 home owners might be able to take advantage of this latest effort.
Now, from an economic standpoint, how much stimulus or kick will this provide to the economy? It appears the effects will be muted according to Bruce Krasting.
This will become a bigger issue in the coming year and home owners become a new constituency!
- FHFA, Fannie Mae and Freddie Mac Announce HARP Changes to Reach More Borrowers (bespacific.com)
- Fannie Mae and Freddie Make Mac Move to NO Loan to Value Limit Loans on HARP (iloanminnesota.com)
- Surprise on Refi Revamp: Key Regulator Agrees to Major Program Reforms (propublica.org)
- New Rules Make it Easier for Underwater Borrowers to Refinance (chelseand.wordpress.com)
- Important Changes to Home Affordable Refinance Program (HARP) (theraleighmortgageguy.com)