In a recent post, we discussed the HARP Loan program and explained how those with a loan from Fannie Mae or Freddie Mac could qualify for the the program. New information has been issued on the HARP Loan program since then, and the new HARP Loan 2.0 underwriting program is due out in mid-March.
It has been rumored that Fannie Mae will be updating their underwriting system the weekend of March 17, 2012. So, as of Monday, March 19th, mortgage lenders should be able to run new loan requests through where the total debt to property value exceeds the 125% ratio. This is their automated (computerized) system that determines borrower qualifications.
Pricing for the Fannie Mae loanshas improved as of now. Pricing is improved on owner-occupied primary residences for all loan terms (15, 20, 25 and 30 year fixed loans).
Also, the appraisal waiver component should be enhanced the weekend of March 17th. Mortgage lenders can still receive appraisal waivers before the 19th of March but they will not be as extensive as what will see after March 19th. So, if you are waiting for the enhanced loan-to-value component or the appraisal waiver, hold off until March 19th if you can.