Can you refinance with HARP on rental property?

Can you refinance with HARP on rental property?

Refinancing with the Home Affordable Refinance Program (HARP) on a rental property is possible, but there are certain eligibility requirements that must be met. HARP was designed to help homeowners refinance their properties to take advantage of lower interest rates, so it is intended for primary residences. However, if the rental property was once your primary residence and you meet all other HARP eligibility criteria, you may be able to refinance it through the program.

1. What is the Home Affordable Refinance Program (HARP)?

HARP is a federal program launched in 2009 to help homeowners who are underwater on their mortgages or have little to no equity refinance their homes.

2. Can I refinance a rental property with HARP if I have never lived in it?

No, HARP is specifically designed for primary residences, so properties that have never been your primary residence are not eligible for the program.

3. What are the eligibility requirements for HARP on a rental property?

To qualify for HARP on a rental property, the mortgage must be owned or guaranteed by Fannie Mae or Freddie Mac, the property must have been your primary residence at some point, the loan must have originated on or before May 31, 2009, and you must be current on your mortgage payments with no late payments in the past six months.

4. Can I refinance multiple rental properties with HARP?

Yes, as long as each property meets the eligibility criteria for HARP, you can refinance multiple rental properties through the program.

5. How can I determine if my rental property loan is owned or guaranteed by Fannie Mae or Freddie Mac?

You can use the loan lookup tools on the Fannie Mae and Freddie Mac websites to see if your rental property loan is owned or guaranteed by either of these entities.

6. Can I use HARP to refinance a rental property if I have a second mortgage on it?

If you have a second mortgage on your rental property, you can still refinance the first mortgage through HARP, but the second mortgage lender will need to agree to subordinate their lien.

7. Is there a limit to the number of times I can refinance a rental property with HARP?

There is no limit to the number of times you can refinance a rental property through HARP, as long as you meet the eligibility requirements each time.

8. Can I use HARP to refinance a rental property with a negative equity position?

Yes, one of the key features of HARP is that it allows homeowners with negative equity positions to refinance their properties, including rental properties, as long as they meet all other program requirements.

9. Can I refinance a rental property through HARP if I am self-employed?

Yes, being self-employed does not disqualify you from refinancing a rental property through HARP as long as you can provide the necessary income documentation to meet the program’s requirements.

10. Is there a deadline to apply for HARP on a rental property?

Yes, the deadline to apply for HARP has passed. The program was set to expire on December 31, 2018, so if you did not apply before that date, you are no longer eligible for HARP refinancing.

11. Can I refinance a rental property through HARP if it is currently in foreclosure?

If your rental property is in foreclosure, you may still be able to refinance it through HARP as long as you meet all other program requirements and your lender agrees to halt the foreclosure process during the refinance process.

12. What other options do I have to refinance a rental property if I am not eligible for HARP?

If you are not eligible for HARP, you may still be able to refinance your rental property through traditional refinancing options, such as a conventional refinance or a cash-out refinance, depending on your financial situation and creditworthiness.

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