Arizona Credit Union: HARP 2.0 and Its Significance

Posted by CesarMuler on May 24th, 2014

Recently, there has been a change in the norms of the Arizona Credit Union regarding the norms that bind mortgages. The changes have been made primarily to attract more eligible borrowers to the loan scene. The Home Affordable Refinance Program or the HARP norms have seen a sea change in order to make the rules binding Arizona mortgage a little more simple and accurate. These changes have been forged to aid the people who have exhibited acceptable payment records on the Freddie Mac or Fannie Mae mortgage loans.

The new norms also cater to aid the people that might have taken loan against the mortgage but could not refurbish the loan on account of some or the other valid reason. The new norms helps such people to obtain a payment that is lower or in moving to a product that is more stable.

Who owns your loan: Freddie Mac or Fannie Mae?

In can sometimes get difficult to understand who owns the loan between Freddie Mac and Fannie Mae. In order to make the process easier, all that one needs to do is log into the official websites of both and enter the address exactly similar to the mentioned in the loan statement. Or to make the process a little longer, you can also contact the American Credit Union and ask them about the body that owns your loan. There is also a host of other websites that might tell you about the owner of your loan. But the verity of the information provided by these websites remains largely questionable.

New enhancements in HARP

Within the new set of enhancements in HARP, there were some important changes made in relation to some of the earlier norms. Some of these important changes are mentioned below.

• Certain fees that are risk-based for borrowers that are looking to refinance into terms of mortgages that are shorter have been eliminated. Besides, the overall fess was reduced for other borrowers.
• The current loan-to-value fixed rate mortgages of 125% was been removed. This norm pertains to loan terms of thirty years or less.
• The need for property appraisals has been eliminated in most of the cases pertaining to Arizona mortgage.
• The second properties and homes will be added to the HARP shortly. The rates that apply might however be different for the second properties.

Eligibility for HARP

There are a few general criteria for someone fall under the receiving end of HARP benefits. Here are a few of these.

• The owner of the mortgage must be one between Freddie Mac and Fannie Mae.
• Then, the selling of the mortgage must have happened before a set date, which is mentioned in the HARP.
• The present loan-to-value percentage of the ratio must be in excess of 80%.

The good news for most of the people whose mortgages are currently owned or guaranteed by Freddie Mac or Fannie Mae is that the Arizona Credit Union will refinance all the loans that fall under the two bodies mentioned above.

Have trouble adjusting to the new mortgage norms of the Arizona Credit Union? We offer you all necessary help related to Arizona mortgage? Find all you need to know at your website.

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CesarMuler

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CesarMuler
Joined: February 17th, 2013
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