Qualifying in a No Appraisal Refinance
In the past, the HARP or the Home Affordable Refinancing Program was designed to help people ON THE VERGE of getting under water with their mortgage, now that the HARP has been revitalized with the no appraisal refinance feature, it is possible for most people who have already turned upside down with their mortgage to turn down side up again, the refinance is a very advantageous change for HARP since this means that no matter how upside down you are, you can recover back and sustain your mortgage again and give a new hope for your home.
However, if you want to participate in the no appraisal refinance program of HARP, then you have to fit the requirements or specifications that government has established. Since the appraisal requirement has been lifted, and many people can now qualify for the help that this program offers, it is but ideal to determine these factors.
If you want to get accepted to a no appraisal refinance from HARP, you have to fit all these requirements. First, your mortgage should be handled by Freddie Mac or Fannie. Mae. A lot of people sadly do not know if their mortgages are handled by either of these companies. You can go to the website of either lenders and you can look up your property address. Once you verified that your property is indeed handled by these companies, you can now breathe a sigh of relief. Now, you have to head to the next phase to qualify for the refinance.
To qualify for the no appraisal mortgage refinance, you should have paid your mortgage religiously in the past 6 months. By religiously, we mean that you have paid on time. With this refinance program, lenders are required to be capable of paying their mortgage on time in the last 6 months. They allow only 1 delayed payment in the span of 1 year but this only means that you have not been delinquent in payments more than 30 days. If you are planning on getting refinance, make sure you clear your record before applying.
If you want to participate in the refinance, you must check the county limit for mortgage balance. Different counties or states have different mortgage balance limits. Some loan limits are at around $564,000 and others might have bigger limits. If you are within the permissible limit, then you can be a candidate for the refinance.
Finally, to be approved for the no appraisal refinance, you must make sure that your last mortgage was closed before the year 2009. If you want to qualify for the refinance, the last refinance that you had should be before 2009 or it should have never been refinanced after 2009.
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