Yes, in Noah’s time, EVERYTHING was under water. Today, half of homes in some cities are underwater. This means that the homeowner’s mortgages are larger than the current home value.
Since 2009, the government has created programs to refinance underwater homes.
Black Diamond Mortgage Corporation is in partnership to deliver many of these loan programs and can provide education and referral assistance for other programs. Most of these loan programs will expire at some point in the future.. (2014?) … so NOW is the time to utilize these programs.
Some programs involve a refinance of the existing loan (HARP or Government Streamline), and some can only be accomplished by a modification of the existing loan (HAMP). None of these programs are designed to provide cash back to the borrower, but rather to simply lower the borrower’s payment by providing a lower interest rate.
Some general information about HARP and HAMP is available on the government’s website : http://www.makinghomeaffordable.gov/pages/default.aspx
Who is eligible for most underwater refinances?
- The loan type must be one of the following: FHA, VA, USDA RD, Fannie Mae or Freddie Mac
- Fannie or Freddie loans last closed before May 2009, and not previously financed under HARP
- The borrower must have made the last 12 mortgage payments as agreed
- For most programs, the borrower must qualify on income for the new loan (exceptions exist, so we can still help if income is an issue)
GREAT NEWS! MANY OF THESE PROGRAMS DO NOT REQUIRE A PROPERTY APPRAISAL
Steps to refinance an underwater home:
- Determine if your mortgage is FHA, VA, USDA RD, Fannie or Freddie (For Fannie and Freddie, you can look up your loan: Fannie (https://knowyouroptions.com/loanlookup ), Freddie ( https://ww3.freddiemac.com/corporate/ )
- Contact Black Diamond Mortgage Corporation for help identifying your current loan type and to obtain a proposal for the new loan that you are eligible for
Many cool features apply to these loans:
- Lower interest rates
- Transfers of existing mortgage insurance certificates
- Automated valuations (appraisal waivers)
- Retaining (subordinating) your existing second mortgage or HELOC (Home Equity Line of Credit)
For more information, contact Black Diamond Mortgage Corporation: www.blackdiamondmortgage.com
A blog with Bank, Real Estate, Loan, Home buyer purchasing or refinancing of Mortgage information for Montana, and more specifically near Glacier Park, the Flathead and Tobacco Valley, County of Flathead, Lake and Lincoln, and cities of Lakeside, Somers, Bigfork, Kalispell, Whitefish, Columbia Falls, Eureka, Polson
