Back to work on the “Streamlined Refinancing Program”
With Congress back in session it is time to readdress the President’s plan for a streamlined refinancing program for non-GSE borrowers. The President’s new streamlined refinance option will mimic the current harp mortgage program with the exception of allowing non-GSE borrowers to participate.
The HARP mortgage program has been an effective tool for millions of homeowners over the past few years. With an already well-established track record from the HARP mortgage program, the President’s new streamlined refinancing program should be a fairly easy program to implement. The elections are now over and it’s time to move forward to fix the economy and help millions of responsible homeowners refinance at these historical low interest rates.
What will the President’s plan offer homeowners?
Much like the HARP mortgage program the President’s streamlined refinancing program will target responsible homeowners that have not missed any mortgage payments in the last six months. The borrower must have a good credit score (580 or above) and the loan must be within current FHA conforming loan limits.
The streamlined refinance program will make it simpler and less expensive for homeowners to refinance. There will be no appraisal and requires no new tax returns required. As long as the refinance is lowering the current interest rate and the homeowner is currently employed the new mortgage should be qualified.