Bank of America No Fee Mortgage Refinance

[lauty1981]

Hi Everyone,
Just looking for some help cause I can't understand why I do not qualify for the refinancing under the new Home affordable plan. I bought my house a year ago using Bank of America's No Fee Mortgage plan at $230K and put 10% down with 6.25% interest. My home according to them is valued at $215K and is owned be Fannie Mae. But they wont let me refinance because they say my loan has PMI, and the kicker is I dont pay the PMI, its paid by the bank and I wasnt even aware of it. Plus I thought you are suppossed to be able to refinance even if you have PMI. Could I go to a different bank or will I have the same problem?

[Moe Bedard]

You may just want to wait until Bank of America gets to the next wave......if you utilize them the process would be more streamlined because they should already have your information from the initial loan......but you should be able to use any of the lenders that offer refinancing that have signed their contracts for the Making Home Affordable plan............they can be found here in this link........
Making Home Affordable -Contact Your Mortgage Servicer




From Bank of America's website.

If you are current on your mortgage, you may have access to the benefits of the Home Affordable Refinance portion of the program. On April 7th we began taking applications for the Home Affordable Refinance program through our network of Mortgage Loan Officers in our retail call centers and mortgage branches. In this first wave, we will serve our largest segment of eligible customers – those who do not have mortgage insurance on their current loan. Additional borrower segments will be included as systems are ready.

1.866.977.2941



• The property must be owner occupied,
• The borrower must have sufficient income to support the new mortgage debt, and
• The first mortgage may not exceed 105% of the current market value of the property. For example if the property is worth $200,000, the borrower must owe $210,000 or less.

[jhn_plsn]

Originally Posted by *** Damiano

The first mortgage may not exceed 105% of the current market value of the property. For example if the property is worth $200,000, the borrower must owe $210,000 or less.

I just do not understand who they expected would qualify for this. Especialy in the Inland Empire of SoCal.

[sunnyleah]

I spoke to Chase this morning and they are now taking loans with PMI on them. You may want to check with BofA again. Good luck

[jwylie]

In my extensive research on the HASP program, the info I am given is that they do not refi loans wtih PMI at this time. One lender was angry and said the whole program won't help the people it was intended to help because of that very issue, PMI!!! Also I am finding that many lenders have implemented "risk based fees" which cause rate penalties if your credit score is at certain levels and that if your score is below 620, for instance, BB and T won't even offer you the program! Sounds like a standard REFI to me! I have written the senate, the president, all the on air guys like hannity and beck and limbaugh. I want this thing investigated!
Know that as of October 1 2009 you will be able to "lender shop" and switch from your current lender. That was told to me directly from Freddie Mac.
Don't do business with BB and T!!!!