HARP Now Accepting loans with MI!!!!

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
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San Diego, California
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Just wanted to update my fellow loansafe members. Our bank is now accepting HARP applications for loans with Mortgage Insurance! I know many of you have been wondering if the rule would ever be changed. Well it has!!!!!

Your new loan will still have mortgage insurance after the Refi + or HARP as many call it.

You still must meet the basic criteria which is:
1. Loan must have been recorded prior to May 31st, 2009 and acquired by either Fannie Mae or Freddie Mac as the investor - Remember just because you're making your mortgage payments to Bank of America that doesn't mean you don't have Fannie/Freddie as the investor, Bank of America/Chase/GreenTree, Seterus are all servicers that just collect your payment. It's about a 75 percent+ chance your loan is backed by Fannie or Freddie if the loan is under $417,000.00

2. No mortgage lates in the past 12 months

3. NO FICO Overlay! If you get a pass through Automated Underwriting we are good to go!

4. Debt to Income below 55% on the back end ratio (housing liabilities, credit card payments, car payments...etc) for most cases, some 45% depending on credit.

If you have those 4 specifics working for you, don't hesitate to shoot me an email or give me a call to get pre-qualified. [email protected] or 619 379 8999. I'm very proud to support all LoanSafe members and am available to answer any questions you may have about either the upcoming release of HARP 2 or any real estate question in general!

OH by the way, I'm never too busy for any of your referrals. Happy Holidays everyone, I'll keep you updated on the release of HARP 2!

Update: HARP 2.0 has been released, interest rates are great and in most cases an appraisal isn't required. That means unlimited LTV, there is no restriction on what you owe vs. what the property is worth.
 
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bnrbnsn

LoanSafe Member
Dec 16, 2009
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0
Harp II with LPMI

Hi do you know of any bank that supports qualifying for harp 2 when the lender pays for pmi. In my case it was paid as a premium by BofA when my original loan was made. BofA dosnt at this time.
 

Washington State Condo

LoanSafe Member
Jul 30, 2011
36
0
0
Erik, What about loans with Lender Paid Mortgage Insurance? Are there lenders accepting HARP 2 refi's with LPMI? Bank of America, our current servicer is just giving us the run around and now have told us we are no eligible for HARP 2 because there is LPMI on our loan. It is so frustrating. Thanks.
 

Cat Damiano

Mortgage Wars
Sep 10, 2007
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Colorado
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Hi WSC,


If you have not already done so, you may want to try calling him as well.
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
If you can find out who your MI is paid too, I can find out if the certificate can be transferred to the new loan.
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
I've been out of the office sick with the flu for the past few days, sorry about the delayed responses and missed phone calls. Catching up with everything today. Thank you all for your patience!
 

Washington State Condo

LoanSafe Member
Jul 30, 2011
36
0
0
Thanks Erik. My son has put a call in to you. Hopefully you'll talk soon. I hate the thought of having to call Bank of America again but I guess we'll need to in order to ask who the MI is paid to. There doesn't appear to be anything in loan closing papers.
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
I'd be more than happy to call Bank of America with you, Brian Monahan the CEO & Presidents phone number is: 704-386-5687

They have been very helpful.
 

Cat Damiano

Mortgage Wars
Sep 10, 2007
10,541
39
48
Colorado
www.loansafe.org
davemcsjr,


You would need to call Erik directly if you are looking to see if there are any lenders that are doing HARP2 in your area. His number is in his signature.
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
Here's an updated list of known MI companies that will transfer the certificate.

Genworth Financial, MGIC, PMI, Radian, RMIC, United Guarantee

Other companies will just need to be contacted to find out if they will transfer the certificate.

I am finding that certain loans that were originated by Countrywide back in 2005-2006 timeframe that had 100% financing sometimes were required to have MI. Some of those loans had what was called "Self Serviced" mortgage insurance. If that is the case the MI will not be able to be transferred to the new loan. I haven't ran into any of these scenarios but thought members should know. Those homeowners will be forced to stay with the same servicer - in most cases bank of america.

I'm starting to wonder why they sold off many of their servicing rights to M&T bank, Greentree, Seterus....etc.
 
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Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
Dave - Send me your information if you havent already and I can put you in touch with someone.
 

ML_n_LA

LoanSafe Member
Aug 3, 2012
2
0
0
Have you ever heard of anyone being denied a HARP 2.0 refi because the mortgage insurance policy was cancelled after BofA failed to pay the premium? I posted about my issue here. Fannie Mae won't approve my refi because the LPMI is showing not active in their records. I have been dealing with BofA on correcting this for 3 months. Any help on how to deal with this would be appreciated. Thanks.
 

Cat Damiano

Mortgage Wars
Sep 10, 2007
10,541
39
48
Colorado
www.loansafe.org
You may want to also contact him directly so that you can get an answer to your question a bit quicker as well;

Erik Sandstrom
Direct: (619) 379-8999
[email protected]
 
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Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
Hi ML_n_LA,
Have you tried contacting your MI provider directly? I usually will do that if I run into any issues (which is very rare) and they can open up your policy and tell you what they can and cant do. You may have paid a Single Premium MI which in that case with HARP they will obtain the same policy and you will not have any additional monthly payments of MI because you already paid it in bulk.

There are some loans that Countrywide originated where Bank of America attached what is called "Self Serviced MI" and I've heard that is a roadblock when trying for HARP, I myself have not run into that issue as of yet.
 

douglasadietz

LoanSafe Member
Aug 8, 2012
5
0
0
Hi ML_n_LA,
Have you tried contacting your MI provider directly? I usually will do that if I run into any issues (which is very rare) and they can open up your policy and tell you what they can and cant do. You may have paid a Single Premium MI which in that case with HARP they will obtain the same policy and you will not have any additional monthly payments of MI because you already paid it in bulk.

There are some loans that Countrywide originated where Bank of America attached what is called "Self Serviced MI" and I've heard that is a roadblock when trying for HARP, I myself have not run into that issue as of yet.
Erik:

I have a similar issue where I was denied by HARP 2...perhaps you can enlighten me as let me know if there is anything I can do. I am in Ohio and have my mortgage through a local lender (NOIC), the loan is owned by Fannie Mae. At any rate, I had first attempted getting refinanced through my bank Huntington. The refi was denied with the bank telling me it had to be done through the original lender (NOIC). I thought no big deal. I attempt to refi through NOIC. It comes back denied again (by Fannie Mae) because according to NOIC the mortgage I have is what they refer to as a "self help". Basically when I bought the house I only had to put very little down on the house and there was no PMI. Now...I am wondering if my loan has LPMI and I just didn't know it. I obviously need to review my original documents but I still do not understand what the problem is.

Have you heard of these types of "self help" loans without PMI being denied by HARP 2 and is there anything I can do? I have never missed a payment, never been late, I have a 777 credit score etc. My loan was done in 10/2006 so on paper it appears to be a perfect candidate for HARP but this PMI issue is screwing up the whole process. Any insight you coul give me would be great. I need to get rid of this ridiculous 6.75% rate I have otherwise I may have to consider short sale or foreclosure because of the lack of equity I have in the house. I'm about $20,000 underwater, which I know to some may not be a lot but in Ohio it still is, especially considering I am 7 years into a 30 year loan. Let me know if you can offer any insight. Thank you!
 

douglasadietz

LoanSafe Member
Aug 8, 2012
5
0
0
Scratch the possibility of LPMI...I have some strange loan that lifted requirements for any PMI which excludes me from harp. Ugh I'm stuck in this crappy loan and there's no end in sight. Any idea of anyway around this?
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,099
181
63
San Diego, California
www.loansreduced.com
Hi Douglasadietz,
Apologize about the late response, I just ran across this thread and noticed there were some questions that were unanswered. In regards to you being denied for "Self-Help" I have never heard that reason for denial. Have you found out more information about this denial that you can share with other members and help me understand what exactly is going on or enlighten us as to if you've received help or not?