HARP Refis Hit 2 Million Mark
The Federal Housing Finance Agency reported Tuesday that Fannie Mae and Freddie Mac have reached a new milestone, refinancing more than 2 million mortgages through the Home Affordable Refinance Program.
In November alone, nearly 130,000 homeowners refinanced their mortgage through HARP, the FHFA said in a release, making it the second biggest month in 2012. Between January and November of 2012, nearly 1 million loans were refinanced through HARP, more than in any single year since the program began.
The housing agency also reported in its monthly Refinance Report that HARP refis represented 23% of total refinance volume in November. That month, 46% of HARP refinances were underwater with loan-to-value ratios greater than 105%, and 24% had LTVs greater than 125%. Also in November, 17% of HARP refinances for underwater borrowers were for shorter-term 15- and 20-year mortgages, which build equity faster than traditional 30-year mortgages.
The agency also reported that HARP refinances represented 68% of total refinances in Nevada and 56% of total refinances in Florida.
A data reporting change added approximately 160,000 loans to the total HARP volume, the FHFA said.