Fannie Mae Refinance-Plus Program
The modern housing crisis has left many citizen upside-down in their home value, added to the whole of growing foreclosures; it's become very difficult to get mortgage insurance. In the good old days if you did not have 20% to put down on a home purchase, you could take out a second mortgage so that you did not have to pay mortgage insurance. Mortgage guarnatee associates are going bankrupt while the crisis and the 20% second mortgage selection is practically unattainable. So if your home doesn't have 20% of its value in equity, how do you refinance your home and take benefit of the low mortgage rates? Well, the talk is the Fannie Mae Refinance-plus program which is a government program that is available to citizen who are upside down. So to keep thing straightforward we have a quick breakdown of the pros and cons of the program:
Current Fannie Mae Refi Plus Programs
The Pros:
- You can qualify if your home is upside down in value, up to 105% of the value of the home. For example, if you owe 200,000 on your home, as long as your home value isn't below 0,000 you can qualify
- There is no minimum prestige score, although it is likely there will be mystery getting popular ,favorite if your prestige score is below 580
- Mortgage guarnatee (Mi) is not required on the loan, any way if you currently have (Mi) you must maintain your (Mi) on the new loan
- You can subordinate existing second mortgages, which means you keep the existing second mortgage with your existing lender.
The Cons:
- You can't have a second mortgage and concentrate the two mortgages into one loan.
- If you have mortgage guarnatee you must keep it.
- The appraised value of your home can still conclude the approval.
- Your existing loan must already be with an existing Fannie Mae Lender, otherwise you are ineligible.
- Your prestige score determines the rate you receive.
- Only available for refinance mortgages
All in all we find the Fannie Mae Refinance-Plus to be a good program with lots of benefits for citizen whose home values have dropped. Although there are a lot of determining factors for approval, it's no more difficult that the approval factor with a customary refinance.
For more information on Du Refinance plus in Idaho click the link
Government Mortgage Programs - Fannie Mae Refi-Plus - Is it Worth the Hype? We Think So
