Says Removal of LTV Ceiling is Key Component for Success
WASHINGTON, DC – October 25, 2011 – (RealEstateRama) — HOPE NOW, the voluntary, private sector alliance of mortgage servicers, investors, mortgage insurers and non-profit counselors, stated today that it is in full support of the changes that the Federal Housing Finance Agency (FHFA) has announced regarding its HARP program.
The organization, which has been at the forefront of the nation’s housing crisis and has engaged in aggressive outreach to homeowners, believes that the changes will go a long way in expanding the options for at-risk borrowers.
Faith Schwartz, Executive Director of HOPE NOW, issued this statement:
“HOPE NOW is fully behind the changes to the HARP program that were announced this morning. One of the biggest challenges in the current market is finding solutions for homeowners who aren’t delinquent, but unable to refinance at a more sustainable interest rate due to being ‘underwater’ on their mortgage. The new plan now eliminates many of the barriers for homeowners trying to refinance, including waiving many of the associated fees and eliminating the need for a new appraisal.
Most importantly, the removal of the loan-to-value (LTV) ceiling will go a long way in opening the door for homeowners with fixed rate mortgages who were unable to refinance in the past.
HOPE NOW looks forward to working with FHFA, Fannie Mae and Freddie Mac in order to implement this program and assist as many homeowners as possible.” HOPE NOW is the industry-created alliance of mortgage servicers, investors, counselors, and other mortgage market participants, brought together by the Financial Services Roundtable, Housing Policy Council and Mortgage Bankers Association, that has developed and is implementing a coordinated plan to help as many homeowners as possible prevent foreclosure and stay in their homes. For more information go to www.HopeNow.com or call the free Homeowner’s HOPE™ Hotline at (888) 995-HOPE™.