2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 20112012 HARP Refinances Double From Q4 2011

For all of  you out there not keeping score about the number of loans refinanced through  the “new and improved” HARP 2.0 we offer the latest update. According to the Federal Housing Finance Agency’s (FHFA) March 2012 Refinance Report the first quarter of 2012 marked nearly double the number of refinances in the fourth quarter of 2011.

The report showed that 180,185 homeowners refinanced their loans through HARP during the year’s first quarter, nearly twice the 93,190 refinances in the previous quarter. The month of March alone saw 79,470 loans refinanced with HARP, and nearly one in seven loan refinances in the quarter came via HARP.

The FHFA attributed most of this increase to the launch of HARP 2.0, that eliminated loan-to-value (LTV) ceilings for borrowers who refinance into fixed-rate loans and lowered or eliminated fees for certain borrowers. Under HARP 1.0, fixed-rate mortgages had a LTV ceiling of 125 percent. The new program saw more than 4,400 underwater loans with LTVs greater than 125 percent refinanced in the first quarter of 2012.

Of course the other factor would be the how low can we go interest rates.

Putting a Band-Aid on your home

Underwater homeowners should consider that even those who qualify for HARP may just be putting a bandage on their situation. We don’t expect any significant appreciation for Bay Area or Northern California homes in the next few years, so unless some dramatic appreciation occurs  homeowners will simply be filling the banks coffers while not seeing any appreciation gain. Homeowners need to look at the big picture rather than a short term fix.

One more thing, look for HARP version 3.0 soon because even with HARP 2.0 changes, the program contains so many restrictions that many people cannot take advantage.

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

2012 HARP Refinances Double From Q4 2011

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1 Comment

Filed under Loan Modifications, Mortgages

One response to “2012 HARP Refinances Double From Q4 2011

  1. Pingback: Bay Area Foreclosures Rise In May But Down From One Year Ago | Resource Blog

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