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Refinance mortgage not owned by Freddie Mac or Fannie Mae?

Discussion in 'Refinance' started by dlogan, Mar 29, 2013.

  1. dlogan

    dlogan LoanSafe Member

    We went through a bankruptcy back in 2005 and the interest rate we got stuck with after that was 7.9%. Our LTV is a bit upside down, we keep our payments made on time, and our credit scores are just fine. I am self-employed which, as I understand it, does add some more stringent criteria when it comes to refinancing. With the interest rates being as low as they are now and all of these government programs available, it's very frustrating not having an option available to refinance. Our mortgage was recently purchased by OCWEN. I've not spoken with them about refinancing, but can't imagine they would be willing. Would love to hear some advice or recommendations as to what we may be able to do. All we really need is a lower rate. Thanks for any information you could pass along.
  2. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Welcome and thanks for joining the community.

    As you have researched, there are currently no refinance programs available for underwater mortgages that are not backed by Fannie Mae or Freddie Mac. We have been hoping that "HARP 3" would be coming shortly and include ALL mortgages, not just ones backed by these two entities.. The only option you may have to lower the interest rate is through a loan modification. Does your current monthly payment (1s mortgage only) exceed 31% of your gross monthly income?
  3. dlogan

    dlogan LoanSafe Member

    Thanks for the information and that's what I was afraid of. As for my current monthly payment..no it does not exceed 31% of my gross monthly income. However, being self employed, that number can be fluid. But, it's safe to say we are well inside the 31% range.
  4. Johnny S

    Johnny S LoanSafe Member

    I feel your pain, I'm stuck at 9% and inside my adjustable portion of my ARM and our loan isn't backed by Fannie or Freddie either. If rates go up we're up a creek since we're underwater and with such a high rate. Our credit is perfect, 800+ and we're just doing the waiting game hoping for HARP 3.

    Walking away is tempting but I'm not sure if I want to destroy our credit...
  5. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    HARP 3 must come into play or we will continue to see many people strategically default on their mortgage. I would not hesitate to contact your State AG to help bring attention to this matter!

  6. Johnny S

    Johnny S LoanSafe Member

    Thanks Evan. I'll give that a try and see if I can gain any traction because we really need a more reasonable loan as this thing is costing us a fortune. We're over paying by at least $700/mo and that adds up really quick.
  7. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    This program is extremely crucial for homeowners in a position similar to yourself. NO ONE should be stuck with a 9% interest rate that is just ridiculous!
  8. dlogan

    dlogan LoanSafe Member

    You've got that right. We are out here doing the same thing as everyone else and just happened to have mortgages not owned by Freddie Mac or Fannie Mae. Any idea if HARP 3 is a possibility or even being considered?
  9. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Unfortunately, the talks have died down on HARP 3 including non-GSE backed loans these past few months and it makes absolutely no sense as that is the last barrier preventing countless borrowers from obtaining an affordable rate!!

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