Fannie Mae Refinance Loan Program To Help Borrowers
April 28th, 2009
For many borrowers it has been a long and hard road over the past months to try to refinance their homes. Credit has been tight, mortgage companies are making it harder every day to qualify for a loan, and some borrower’s mortgages are more than their homes are worth. Now there may be some relief for many borrowers.
As part of the Home Affordable Act, Fannie Mae has introduced the Fannie Mae Refi Plus program. The Refi Plus program is designed to help borrowers who are current on their monthly mortgage payments, but may benefit from refinancing into a mortgage with better terms and a lower payment.
Who can benefit from the Refi Plus Program? Borrowers trying to refinance out of an adjustable rate mortgage, or a borrower looking to lower their monthly payment. Another important benefit is for borrowers whose LTV may have risen to 125%. For instance, let’s say your mortgage is $375,000, but your home is worth $300,000. You would be eligible to qualify for this loan because your LTV would be 125%.
What are some of the major highlights of this loan program?
- Max 125% LTV and no max for CLTV
- Properties eligible are Owner Occupied, 2nd Homes and Non-owner Occupied (Investor)
- No mortgage insurance if existing loan does not have mortgage insurance,regardless of new LTV
- 2nd home must be 1-unit
- For investment property, no limit on the number of mortgages to the same owner.
There are many restrictions to this program so call your loan officer to see if 
your particular situation will qualify. However, just a few of the main restrictions listed are; if there is subordinate financing it must be re- subordinated. No new subordinate financing is allowed. Loan limits are set to the maximum conforming loan limits for 1-4 unit properties. Most importantly, your existing loan must be a Fannie Mae loan.
Don’t know if your loan is a Fannie Mae loan? You can either call the company that is currently servicing your loan payments, or you can call Scott Dovala at 707-494-8532 or toll free at 877-392-0674 and I can look that up for you.
Posted in
Hi there could I quote some of the information here in this post if I reference you with a link back to your site?
Congratulations on having one of the most sophisticated blogs Ive come across in some time! Its just incredible how much you can take away from something simply because of how visually beautiful it is. Youve put together a great blog space –great graphics, videos, layout. This is definitely a must-see blog!
This post will actually served me a lot thanks
Took me time to read all the comments, but I really enjoyed the article. It proved to be Very helpful to me and I am sure to all the commenters here! It’s always nice when you can not only be informed, but also entertained! I’m sure you had fun writing this article.
Me and my friend were arguing about an issue similar to this! Now I know that I was right. lol! Thanks for the information you post.
thanks friend this information really helped me
Hello could I quote some of the insight here in this blog if I link back to you?
thanks friend this information really helped me
This is an interesting article. Thanks for sharing.
I wish more people would write blogs like this that are actually fun to read. With all the fluff floating around on the net, it is rare to read a blog like yours instead.