At least one catchy headline of a mortgage ad that I saw says “President Reduces Amount Homeowners Owe”.
Which I thought was a bit strange – because did President Obama really reduce the amount homeowners owe on their mortgage?
Yes and no.
The President Is Not Going To Pay Your Mortgage
If you are sitting at home waiting for some miracle to happen and for President Obama to come into your living room and magically “reduce the amount you owe” – you can stop now. It isn’t going to happen. And most likely, there won’t be a magic stroke of a pen that somehow forces your bank to reduce the amount that you owe on your mortgage (although the truth is that this is happening for some people – this isn’t something I recommend and ask if it is going to happen to you because many banks are reluctant to reduce the principal amount you owe). And, lastly – if you simply click on the ad – you will find that it is just another form that someone is trying to get you to submit your information so that you can qualify for a mortgage refinance. And this – this is where it is most true that President Obama and his administration has made it possible through the HARP refinance program to possibly refinance your house and reduce both your monthly payment and your overall amount that you will pay on your mortgage over the life of the loan.
The President Announced HARP and HARP 2.0 To Help You
Most people who have a mortgage will have a FHA, VA or a conventional mortgage. Most conventional mortgages are backed by either Fannie Mae or Freddie Mac. The HARP refinance program is for people who have a conventional mortgage that is backed by Fannie Mae or Freddie Mac. Here is how you check Fannie Mae to see if they are backing your mortgage and here is how to check Freddie Mac. If you have an FHA or VA loan, then you will want to try to qualify for the FHA streamline mortgage or VA streamline mortgage programs – they work much like the HARP program in many ways – but those programs are designed for FHA and VA loans.
HARP Refinance Quotes
Getting a quote for the HARP refinance program is easy and you can start right here. Either call the lender hotline or fill out your information and one of our HARP approved lenders will be happy to help you find out if you can qualify for HARP. The single best thing you can do if you are interested in saving money is to shop multiple lenders. You might be surprised that on the same day many different lenders will have many different interest rates and even a .25% difference in rate can make a big difference in your monthly payment and overall interest that you pay over the life of the loan.
Start shopping now for your HARP refinance and get a free quote here!
Last 3 posts by Justin McHood
- HARP Myths: Answers From Freddie Mac Executive - December 16th, 2013
- Getting Ready for Your VA Home Loan - November 30th, 2013
- Impact of Foreclosure and Bankruptcy on VA Loan Eligibility - November 29th, 2013