What Do You Need to Know About HARP?

The dream of home ownership has turned into a nightmare for many Americans who bought their homes at the height of the market, only to see home values plummet in the recent downturn in real estate. But there is good news on the horizon. If you are among the unprecedented number of homeowners who are "underwater" on your mortgage, owing more on than your home is currently worth, there is now hope for some relief.

The Home Affordable Refinance Program (HARP 2.0) offers refinancing options for homeowners whose mortgage balances are higher than their home values. With the advent of HARP 2.0, you may finally be able to take advantage of falling interest rates and lower your dreaded monthly mortgage payments. Companies like Poli Mortgage Group, located in Norwood, MA, offer HARP 2.0 refinancing options to qualifying homeowners. Eligibility is contingent on a number of factors including; your credit history for the past 24 months, the type of property you own and its occupancy (do you live on the property, or is it an investment?), and whether you have previously refinanced with HARP. Applicants must also submit necessary documentation, which in many case may be limited to bank statements and homeowner's insurance.

If you qualify for HARP 2.0, you may be eligible for up to 125 percent loan to value on your home. If you're a homeowner with little hope of securing today's historically low interest rates due to the size of your mortgage compared to the value of your home, investigate whether HARP 2.0 might be right for you.