Fannie Mae / Freddie Mac Requirements

You must meet the following criteria to qualify for a HARP refinance:

  • Your current loan must have been sold to Fannie Mae or Freddie Mac. To find out, contact your current loan servicer or visit: https://www.makinghomeaffordable.gov/get-answers/Pages/get-answers-find-out-mortgage.aspx
  • Your existing loan must have been sold to Fannie Mae or Freddie Mac prior to June 1, 2009.
  • During the last 12 months, all of your mortgage payments must have been made within 30 days of the due date.
  • Your HARP refinance must be approved by Fannie Mae or Freddie Mac's Automated Underwriting System (AUS).

Additional AimLoan Requirements if Change in Servicer

If the mortgage being refinanced is currently serviced by another lender/servicer, AimLoan requires the application also meet the following underwriting requirements:

  • AUS finding of 'Approve Eligible' (Fannie Mae) or 'Accept Eligible' (Freddie Mac).
  • Minimum FICO score of 680.
  • Maximum Debt-to-Income ratio of 45%.
  • Maximum Loan to Value of 125%
  • Property value supported by an Automated Valuation Model.
  • Maximum of one primary residence HARP mortgage and one investment property HARP mortgage through AimLoan to any one borrower.
  • All borrowers on the existing loan must remain on the new HARP refinance (this requirement applies to all AimLoan Serviced and Non Serviced HARP Loans).

If I have a first and a second mortgage, do I still qualify?

Yes, as long the lender on the second agrees to subordinate their loan to the new first mortgage, thereby remaining in second position.

Can I combine my first and second mortgages into one loan?

No, the HARP program does not allow you to combine your first and second mortgages into one loan. You are only allowed to pay off your first mortgage.

Can I get cash out to pay off debts?

No. However, you may add your closing costs to the loan. If your current mortgage is owned by Fannie Mae, there is no limit to the amount of closing costs you may add to your balance. If your current mortgage is owned by Freddie Mac, the maximum closing costs you may add to your balance is limited to 4% of the current balance or $5,000, whichever is less.

If I am delinquent on my mortgage, will I still qualify?

No. Borrowers who are currently delinquent on their mortgage should contact their current lender/servicer and ask about a loan modification.

Will I need mortgage insurance?

If your existing loan does not have Private Mortgage Insurance (PMI), it will not be required as part of your HARP refinance either. If your existing loan has PMI, your HARP refinance will also require it. PMI for this program will only be available through your existing PMI company.

AimLoan is approved to assume PMI policies with the following major PMI companies:

  • Genworth (formerly GEMICO)
  • MGIC
  • PMI
  • Radian
  • RMIC
  • Triad
  • UGI

How long will the HARP program be available?

The program expires on September 30, 2017. Your refinance transaction must be closed and funded on or before that date.

Program Guidelines

Primary Residence

No Cash Out Refinance
Property Type Max Loan Amount Max LTV1 Max CLTV2 Min FICO
SFR/Condo 424,100 125% UNLIMITED 620
2-Unit 543,000 125% UNLIMITED 620
3-Unit 656,350 125% UNLIMITED 620
4-Unit 815,650 125% UNLIMITED 620

Second Home

No Cash Out Refinance
Property Type Max Loan Amount Max LTV1 Max CLTV2 Min FICO
SFR/Condo 424,100 125% UNLIMITED 620

Investment Property

No Cash Out Refinance
Property Type Max Loan Amount Max LTV1 Max CLTV2 Min FICO
SFR/Condo 424,100 125% UNLIMITED 620
2-Unit 543,000 125% UNLIMITED 620
3-Unit 656,350 125% UNLIMITED 620
4-Unit 815,650 125% UNLIMITED 620
Risk-Based Add-OnsAdded to Points or Subtracted from Rebate, All Add-Ons are Cumulative

FICO Score(Loan Terms Greater than 20 years)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
740+ 0.000 0.000 0.000 0.000 0.000 0.000
720-739 0.000 0.000 0.000 0.000 0.000 0.000
700-719 0.500 0.500 0.500 0.500 0.500 0.500
680-699 0.750 0.750 0.750 0.750 0.750 0.750
660-679 1.750 1.750 1.750 1.750 1.750 1.750
640-659 2.250 2.250 2.250 2.250 2.250 2.250
620-639 2.750 2.750 2.750 2.750 2.750 2.750

HARP Refinance(All Loan Terms)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
ALL 0.000 0.000 0.000 0.500 1.000 2.000

Condo(Loan Terms Greater than 15 years)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
ALL 0.750 0.750 0.750 0.750 0.750 0.750

2-4 Units(All Loan Terms)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
ALL 1.000 1.000 1.000 1.000 1.000 1.000

Investment Property(All Loan Terms)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
ALL 3.75 3.75 3.75 3.75 3.75 3.75

No Escrow Account3(For Payment of Taxes and Insurance)
(All Loan Terms)

FICO LTV
80.01-85
LTV
85.01-90
LTV
90.01-95
LTV
*95.01-97
LTV
97.01-105
LTV
105.01-125
ALL 0.25 0.25 N/A N/A N/A N/A

Subordinate Financing(All Loan Terms)

LTV RANGE CLTV RANGE FICO <720 FICO >=720
<=75% <=80% 0.375 0.375
65-75% 80.01-95% 1.125 0.875
75.01-95% 76.01-95% 1.375 1.125
Any >95% 1.875 1.875

Max Pricing Add-On(Primary Residence)

AMMORTIZATION TERM LTV <=80% LTV >80%
<=20 YEARS 2.000 0.000
>20 YEARS 2.000 0.750

Max Pricing Add-On(Investment Properties & Second Homes)

AMMORTIZATION TERM LTV <=80% LTV >80%
<=25 YEARS 2.000 2.000
>25 YEARS 2.000 2.000

LTV Add-On

LTV RANGE ADD TO RATE
0-80% 0.000%
80.01-105% 0.125%
105.01-125% 0.375%

Notes:

(1)  LTV refers to Loan-to-Value, the maximum percentage allowed when the mortgage amount is divided by the property value.

(2) CLTV refers to Combined Loan-to-Value, the maximum percentage allowed when all mortgages on the property (including home equity loans and lines of credit) are combined and that total is divided by the property value.

(3) You are required to have an escrow account for the payment of taxes and insurance if the LTV ratio on your loan is over 80% (89.99% in California.)

Our most popular program! Because 30 years is the longest term available, the monthly payments will be the lowest of any of the fixed rate programs.
An “in between” option, providing a lower interest rate than the 30-year fixed and a lower payment than the 15-year fixed.
Our second most popular program! You pay a lower rate and build equity faster than you would with a longer term program. The monthly payments are higher, but the savings over the life of the loan are considerable.
The shortest term we offer, this program offers slightly better pricing than a 15-year fixed.