If you’re struggling with mortgage refinancing because you’re underwater and can’t find a lender to accept you there are factors beyond your LTV and credit that could be holding you back. According to HSH.com your mortgage insurance could be keeping you from finding mortgage refi bliss.
Plain and simple: if you have mortgage insurance (MI), refinancing under the federal government’s Home Affordable Refinance Program (HARP) is going to be a lot more difficult than for those without it, explains HSH.com staff writer Gina Pogol in her article “Mortgage insurance puts roadblock on road to refinancing.”
The HARP program could help you if you’re underwater in your mortgage loan; however, negative equity and mortgage insurance are difficult to overcome. The problem doesn’t seem to lie with the HARP program but with lenders that have little or no motivation to participate.
There is a grassroots movements to make the HARP program more suited for homeowners that need the help. It seems the majority of people getting mortgage refinancing under HARP never underwater to begin with. If you’re underwater and seeking relief check out this online petition and connect with other homeowners in a similar situation.
You can learn more about mortgage refinancing without unnecessary markup or junk fees by checking out my free Underground Mortgage Refinancing Videos.