Myths of Mortgage Refinancing through HARP
January 19, 2017
Do you owe more than your home is worth? The good news is that HARP—the Home Affordable Refinance Program, a government program, has been extended through December 31, 2017. With HARP, homeowners are able to refinance when their home value has decreased.
Here, Golden Oak Lending reviews the benefits and debunks common myths.
Benefits of a HARP Loan:
- You are able to refinance even while in this predicament
- You have the opportunity to lower your monthly payment
- You can avoid a lump payment
- You may net your escrow in addition when switching to HARP, thereby reducing your closing costs
Why you might be reluctant to consider HARP:
- You cannot get cash out or skip any payments
- Worried about adding closing costs to your current predicament
Debunking the myths:
- HARP loans must improve your financial situation
- You may roll your closing costs into the loan
- A HARP loan is not too good to be true. You can trust reputable HARP lenders.
A few facts about eligibility:
- Because HARP is a government-sponsored program, you’ll need to meet the requirements to qualify. Contact Golden Oak Lending today to see if you qualify.
- You’ll need to be current on your mortgage payments.
- If eligible, you may be in a position to refinance up to twice your home’s value.