Ask Terry Questions HARP or HAMP — please help!

HARP or HAMP — please help!

By Terry Savage on December 03, 2016 | Housing / Real Estate

I am confused on HAMP and HARP I would like to refinance my home mortgage, I have not missed any payments, I am paying 5 1/2 percent interest and the monthly payment is too high for me .I did call Hamp and Harp I am confused which one is the best for me to call.? and do you have correct number? thank you and I saw you on WGN morning show Thank you, Marg Mitchem

Terry Says

OK, I know this is confusing.  Both are government programs designed to help homeowners who are having trouble making their mortgage payments. HAMP is the Home Affordable Modification Program.  HAMP offers a modification to your current loan so that you can avoid foreclosure. To qualify, your housing payment, including principal, interest, property taxes, HOA dues and insurance, must exceed 31 percent of your gross (before tax) monthly income. You must also have a documentable hardship -- a significant reduction in income or increase in expenses that was beyond your control. Your loan must have originated before January 1, 2009 to participate in HAMP.  This program is scheduled to expire on December 231, 2016. HARP is the Home Affordable Refinance Program.  HARP offers a complete refinance into the lowest available mortgage rates. That means closing out your old mortgage and getting a brand new one. In order to qualify, you'll have to be creditworthy, up-to-date on your payments and present the necessary financial documentation.  This program is scheduled to end on September 30, 2017. Importantly, in order to qualify for either of these programs, you must have a mortgage that is owned by Fannie Mae or Freddie Mac.  You'll need to contact your mortgage "servicer" (the company to whom you pay the bill) to find out about this. Then call the government's toll-free helpline for these programs:  888-995-HOPE (4673).  But act quickly -- especially to get the HAMP deal which is schedule to end soon.  And remember, even if you don't qualify for one of these programs because your mortgage is not owned by Fannie or Freddie, you can always try for a conventional refi if you have good credit and a good income.  Try my pal Leslie Struthers at Guaranteed Rate (



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