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New Contributor
IsleSeat
Posts: 69
Registered: ‎03-12-2007
0

HARP2 and Credit Scores

I am unable to traditionally refinance my residence, which is 85% LTV, my Scores are 729-747-771 and am contemplating applying for the HARP program. My current mortgage is a 30yr fixed at 6.625% and I wish to get a fixed, 15yr. Never been late, long time employed, very little debts/

 

Questions is (and cannot be answered in any forum related to Harp2) how much weighs in the FICO score and the possibility that under a 15yr loan payment my DTI would be 40%?

 

I am just sick and tired of being turned down at every corner for reasons of too much indebtness, high LTV or other garbage lenders come up with.


July 2014: EX 790, TU 810, EQ 828

Starting Scores: EX 521, TU 508, EQ 486

I came straight out of Hell
Established Contributor
cdtotten
Posts: 951
Registered: ‎05-27-2009
0

Re: HARP2 and Credit Scores

With those FICO scores and an 85% ltv, you shouldn't have much of a problem refinancing. What specifically are you being declined for? DTI ratios? You said you have too much debt... what do you have?


Starting Score: 627 EQ, 621 TU - 11/15/08
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New Contributor
IsleSeat
Posts: 69
Registered: ‎03-12-2007
0

Re: HARP2 and Credit Scores

I have no debt other than the house. What lenders are referring to is that they will NOT refi at 85%LTV

When they mean too much debt, it is meant that my DTI is no good - even if I have paid on time for years and a new, lower mortgage gets me a LOWER payment.

Bizzarre.


cdtotten wrote:

With those FICO scores and an 85% ltv, you shouldn't have much of a problem refinancing. What specifically are you being declined for? DTI ratios? You said you have too much debt... what do you have?





July 2014: EX 790, TU 810, EQ 828

Starting Scores: EX 521, TU 508, EQ 486

I came straight out of Hell
Valued Contributor
crunching_numbers
Posts: 1,093
Registered: ‎02-15-2012
0

Re: HARP2 and Credit Scores

[ Edited ]

I thought HARP2 was only for 30 yr mortgages.  Also, make sure you are speaking with a lender that participates in HARP. Not all lenders do. The rules for HARP are that you have to be greater than 80%, and 85% is greater. Are you sure that is the problem?


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Regular Contributor
mkm77
Posts: 147
Registered: ‎08-25-2010
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Re: HARP2 and Credit Scores

I know that Lenders like BedrockLending.com, Wells, Bank of America etc. allow up to 125% LTV under harp. Main problem is after 95% LTV it is allowed but your rates really start to rise.


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