July 22nd, 2014
If Freddie Mac owns your mortgage and you are timely with your mortgage payments but unable to refinance because you have little or no equity in the home, you may be able to refinance to a lower interest rate or more stable mortgage through the federal Home Affordable Refinance Program® (HARP). This program is designed for homeowners who have not been able to refinance due to a decline in the value of their home. Visit our secure Loan Look-up toolto see if Freddie Mac owns your loan.
Freddie Mac's implementation of HARP may help you obtain a monthly payment you can afford, and must result in one or more of the following:
View our list of the most frequently asked questions about this program.
If your loan is owned by Freddie Mac, there are two options to help you if you are making timely mortgage payments, but have been unable to refinance due to declining property values:
You may be eligible for HARP through your existing lender or a different participating lender if you:
Mortgage insurance is not required if your existing mortgage does not have mortgage insurance, regardless of whether the loan-to-value ratio (ratio of the amount being borrowed to the market value of the property) is greater than 80 percent on the new mortgage.
* The interest on the portion of the credit extension that is greater than the fair market value of the dwelling is not tax-deductible for federal income tax purposes; and the consumer should consult a tax adviser for further information regarding the deductibility of interest and charges.
Note: This material is meant to provide general information about Freddie Mac's implementation of HARP and is not a comprehensive summary of the program. Specific additional terms, conditions, and limitations apply. Please contact your lender for more detailed information about the program and eligibility requirements. Also note that some servicers may choose not to offer these mortgages, or they may choose not to implement all of the flexibility available through the Home Affordable Refinance Program component of the changes.
Home Affordable Refinance Program® and HAMP® are registered trademarks of the U.S. Department of Treasury.