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Old 01-14-2010, 09:28 PM
509 509 started this thread
 
6,302 posts, read 6,945,136 times
Reputation: 9399

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I have a FHA mortgage making me eligible for the Federal HARP program.

I went to the Federal web site. I provided my loan number and answered a questionaire. At that point the HARP program indicated that I was eligible for the Federal refinance program and should contact my lender (which is one of the TARP banks).

I called the lender and they said they could refinance my loan under the program with a 2% loan fee, plus appraisal, plus other customery fees and an interest rate than appeared to be 1% above market.

When I asked why the interest rate was so high the response I received was "you have too much equity in the house (60,000 mortgage on a 300,000 house)."

So I called my credit union for a comparison. New mortgage 1% loan fee, plus customery charges, no appraisal fee, and an interest rate at market rates.

I talked to a friend that went through the same process with another TARP bank and the HARP program. His payments actually went UP!!

Anyway, it appears the HARP program is another scam to funnel money to the money center banks. I CANNOT believe that a federal program to help homeowners will end up costing them money.

Wait...I remember now. Those contributions prior to the election to the elected party.

My own government scaming me to deliver money to the BIG MONEY BANKS.

Folks, remember WE HAVE THE BEST GOVERNMENT MONEY CAN BUY!!

Unfortunately, you and I did not contribute to their election.

Be careful out there. Just because it is a government program does NOT mean you safe.

 
Old 01-14-2010, 11:15 PM
 
Location: WA
5,640 posts, read 24,863,759 times
Reputation: 6573
I have an application pending for a Harp refinance but have told them I will not fund the appraisal until I get an estimate of the rate/fee/closing costs. I guess I should not hold my breath.
 
Old 01-14-2010, 11:52 PM
 
Location: Sacramento
2,568 posts, read 6,731,447 times
Reputation: 1933
Quote:
Originally Posted by 509 View Post
I have a FHA mortgage making me eligible for the Federal HARP program.

I went to the Federal web site. I provided my loan number and answered a questionaire. At that point the HARP program indicated that I was eligible for the Federal refinance program and should contact my lender (which is one of the TARP banks).

I called the lender and they said they could refinance my loan under the program with a 2% loan fee, plus appraisal, plus other customery fees and an interest rate than appeared to be 1% above market.

When I asked why the interest rate was so high the response I received was "you have too much equity in the house (60,000 mortgage on a 300,000 house)."

So I called my credit union for a comparison. New mortgage 1% loan fee, plus customery charges, no appraisal fee, and an interest rate at market rates.

I talked to a friend that went through the same process with another TARP bank and the HARP program. His payments actually went UP!!

Anyway, it appears the HARP program is another scam to funnel money to the money center banks. I CANNOT believe that a federal program to help homeowners will end up costing them money.

Wait...I remember now. Those contributions prior to the election to the elected party.

My own government scaming me to deliver money to the BIG MONEY BANKS.

Folks, remember WE HAVE THE BEST GOVERNMENT MONEY CAN BUY!!

Unfortunately, you and I did not contribute to their election.

Be careful out there. Just because it is a government program does NOT mean you safe.
A few things:
1. FHA and HARP have nothing to do with each other
2. If you have more than 20% equity in your home you do not need HARP you can refinance with whoever you want.
3. I believe most lenders do not want to do small mortgages so that is why they have higher rates.

We did the HARP and we are grateful for the program. Here is how it helped us. We purchased our home with 20% down to avoid PMI. When rates went down we looked into refinancing and found out we only had 10% equity so we couldn't refinance without paying PMI. So we were stuck. Enter HARP and we were able to refinance with the usual closing costs but no PMI. So now we are saving $200/month. Our closing costs were $1200 so after 6 months we will break even.
And because our loan was Fannie Mae we were able to shop around for a lender.

Your problem is that you did not research you options before making accusations. You can go to any lender and refinance. Period. So call about 3 of them and find out what the going rate is for such a small mortgage. Never pay origination fees. I do not know anything about FHA but I am sure you can refi into a normal mortgage with any lender.
 
Old 01-14-2010, 11:53 PM
 
Location: Sacramento
2,568 posts, read 6,731,447 times
Reputation: 1933
Quote:
Originally Posted by cdelena View Post
I have an application pending for a Harp refinance but have told them I will not fund the appraisal until I get an estimate of the rate/fee/closing costs. I guess I should not hold my breath.
Who is your lender? Do you have Fannie Mae? If you do you can shop around for lenders.
 
Old 01-15-2010, 12:06 PM
509 509 started this thread
 
6,302 posts, read 6,945,136 times
Reputation: 9399
Quote:
Originally Posted by suzie02 View Post
A few things:
1. FHA and HARP have nothing to do with each other
2. If you have more than 20% equity in your home you do not need HARP you can refinance with whoever you want.
3. I believe most lenders do not want to do small mortgages so that is why they have higher rates.

Your problem is that you did not research you options before making accusations. You can go to any lender and refinance. Period. So call about 3 of them and find out what the going rate is for such a small mortgage. Never pay origination fees. I do not know anything about FHA but I am sure you can refi into a normal mortgage with any lender.
FHA and HARP are linked you must have a government originated mortgage to get a HARP refinance.

Yes, I was aware you can refinance with anybody. However, the HARP site says "contact your lender first". Therefore, sending lots of folks to the crooks that run our big money center banks. By the way my mortgage started with a small bank, shouldn't I have the option of having my mortgage serviced by a bank of my chosing. I am tired of doing business with crooks!!

On the issue of small mortgages this was sold to the public as program to help HOMEOWNERS not BANKS. People with small mortgages need help first and foremost. If you cannot make your monthly payments you are going to lose your house no matter the size of your mortgage. Should the government only help rich people with large mortgages?? Is that your point?

My point is the big money banks with the help of the US Congress and the Obama Administration are going to steal from the American people again under the guise of helping them. See the post of the poor fellow dealing with the mortgage refinance with Chase. That is the typical story, not your experience with your refinance.

Why do we have a government program under the pretence of helping people that allows crooked BANKS to charge more than twice the fees and higher rates??

I am sorry I am fed up having the "BEST GOVERNMENT MONEY CAN BUY".
 
Old 01-15-2010, 12:51 PM
 
Location: Sacramento
2,568 posts, read 6,731,447 times
Reputation: 1933
Quote:
Originally Posted by 509 View Post
FHA and HARP are linked you must have a government originated mortgage to get a HARP refinance.

Yes, I was aware you can refinance with anybody. However, the HARP site says "contact your lender first". Therefore, sending lots of folks to the crooks that run our big money center banks. By the way my mortgage started with a small bank, shouldn't I have the option of having my mortgage serviced by a bank of my chosing. I am tired of doing business with crooks!!

On the issue of small mortgages this was sold to the public as program to help HOMEOWNERS not BANKS. People with small mortgages need help first and foremost. If you cannot make your monthly payments you are going to lose your house no matter the size of your mortgage. Should the government only help rich people with large mortgages?? Is that your point?

My point is the big money banks with the help of the US Congress and the Obama Administration are going to steal from the American people again under the guise of helping them. See the post of the poor fellow dealing with the mortgage refinance with Chase. That is the typical story, not your experience with your refinance.

Why do we have a government program under the pretence of helping people that allows crooked BANKS to charge more than twice the fees and higher rates??

I am sorry I am fed up having the "BEST GOVERNMENT MONEY CAN BUY".
It sounds like you have an agenda and really do not want to hear different opinions. Again I am happy that HARP exists, it saves me $200 per month.
 
Old 01-15-2010, 01:29 PM
 
Location: WA
5,640 posts, read 24,863,759 times
Reputation: 6573
Quote:
Originally Posted by suzie02 View Post
Who is your lender? Do you have Fannie Mae? If you do you can shop around for lenders.
Yes, it is a Fannie loan and I am in a similar situation as others where I put 20% down but the market decline has reduced the property value by about that amount... a conventional refi asks for PMI, but HARP does not.

The mortgage company I am currently dealing with has been on the up-n-up this morning, being honest about possible rates (not to be nailed down until the LTV is determined) and costs.

It is important to most (especially me) to do an apples to apples comparison with the current loan so when they tell me I can save X dollars per month I make them do a comparison for the same number of months... a new loan is 360 payments but I only have 320 left so a fair comparison is to a payment on a theoretical 320 month loan.

Thus far I have found there is negligible real savings once I factor in the costs of establishing a new loan even at the lower rate.
 
Old 01-15-2010, 02:31 PM
 
5,340 posts, read 14,080,419 times
Reputation: 4694
Quote:
Originally Posted by 509 View Post
FHA and HARP are linked you must have a government originated mortgage to get a HARP refinance.

Yes, I was aware you can refinance with anybody. However, the HARP site says "contact your lender first". Therefore, sending lots of folks to the crooks that run our big money center banks. By the way my mortgage started with a small bank, shouldn't I have the option of having my mortgage serviced by a bank of my chosing. I am tired of doing business with crooks!!

On the issue of small mortgages this was sold to the public as program to help HOMEOWNERS not BANKS. People with small mortgages need help first and foremost. If you cannot make your monthly payments you are going to lose your house no matter the size of your mortgage. Should the government only help rich people with large mortgages?? Is that your point?

My point is the big money banks with the help of the US Congress and the Obama Administration are going to steal from the American people again under the guise of helping them. See the post of the poor fellow dealing with the mortgage refinance with Chase. That is the typical story, not your experience with your refinance.

Why do we have a government program under the pretence of helping people that allows crooked BANKS to charge more than twice the fees and higher rates??

I am sorry I am fed up having the "BEST GOVERNMENT MONEY CAN BUY".
The HARP program is only for Fannie and Freddie loans, not FHA. The program is helping LOTS of people refinance to today's lower rates that would otherwise not be able to do so. Doesn't matter the size of the mortgage (big, small or middle of the road).

Originally the idea was you would have to refi with your current servicer. However, pretty early on it was changed so you can use the lender of your choice.

There is a lot of tension around the county with respect to mortgages right now, but I think you are throwing a little too much 'conspiracy theory' into it.
 
Old 01-15-2010, 05:26 PM
509 509 started this thread
 
6,302 posts, read 6,945,136 times
Reputation: 9399
No I am madder than hell. Why have a government program where you PAY more than without the program.

Myself and another friend went through this same run around with offers that would raise our monthly payments.

See this post on the forum: http://www.city-data.com/forum/mortg...ification.html

Same story.

See this Yahoo article:Obama mortgage relief program fails to deliver - Yahoo! Finance (http://finance.yahoo.com/news/Obama-mortgage-relief-program-apf-3990048159.html?x=0&sec=topStories&pos=3&asset=&cc ode= - broken link)

My sense is the mortgage companies are trying to maximize their profits by lying and raising fees. I suspect that my refinance would have been through Chase and not the government program. They wanted to give me a loan since I had 80% equity in the house. Of course, they also wanted to maximize fees.

Be a crooked lender, and buyer beware. But to have a program passed by the Congress of the United States and touted by the President as helping the average American is a real stretch. The point of the program appears to help the BANKS.

I appears a few people have been helped by the program. But many more are getting ripped off.

I am mad at my government.
 
Old 01-15-2010, 06:45 PM
 
Location: Sacramento
2,568 posts, read 6,731,447 times
Reputation: 1933
Quote:
Originally Posted by 509 View Post
No I am madder than hell. Why have a government program where you PAY more than without the program.

Myself and another friend went through this same run around with offers that would raise our monthly payments.

See this post on the forum: http://www.city-data.com/forum/mortg...ification.html
This is a modification not a refinance which is the topic of this thread.

Quote:
Originally Posted by 509 View Post
Same story.

See this Yahoo article:Obama mortgage relief program fails to deliver - Yahoo! Finance (http://finance.yahoo.com/news/Obama-mortgage-relief-program-apf-3990048159.html?x=0&sec=topStories&pos=3&asset=&cc ode= - broken link)
Same thing.

Quote:
Originally Posted by 509 View Post
My sense is the mortgage companies are trying to maximize their profits by lying and raising fees. I suspect that my refinance would have been through Chase and not the government program. They wanted to give me a loan since I had 80% equity in the house. Of course, they also wanted to maximize fees.

Be a crooked lender, and buyer beware. But to have a program passed by the Congress of the United States and touted by the President as helping the average American is a real stretch. The point of the program appears to help the BANKS.

I appears a few people have been helped by the program. But many more are getting ripped off.

I am mad at my government.
You should have posted this in the politics forum because that seems to be the goal of the thread.

The Refinance program works because it allows people to refinance who wouldn't have been able to do so solely because the drop in house values.

I do not know anything about the Modification program but I assume it is a lot more complicated since it involves people who are way over their heads. Some people should have never gotten their original mortgages in the first place and now they may not be able to qualify for the modification at all.
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