Freddie Mac Refinancing under Obama Plan

[Disneyjamie]

Our mortgage broker still says that Freddie Mac has not provided details to refinance loans under the Obama plan. Is anyone else's broker telling them this? I am starting to get suspicious as it has been months since the plan was unveiled.

 

[friskykitten]

I was just told this by my mortgage company yesterday for the FHA loans. They said MAYBE by the end of June. Something about how they want to make sure they get it right the first time so they are taking the time to make everything perfect before it is offered. I had heard that the HOPE program never really panned out either for those who had tried to get help last year and earlier.

 

[malak57]

You may want to look at loansafe.org or naca.com in the forum sections. They seem to have some good ideas about the Obama plan.

 

[cay2420]

What is it that you want to know. I work for Bank of America and we have been doing these loans for a while now. Who is your mortgage servicer as of right now?

 

[Disneyjamie]

My broker from a local MI firm says that no Freddie Mac loans can be refinanced under Obama's plan yet, as Freddie Mac has not released info on how to do this. He says just Fannie Mae loans qualify under the plan right now. My loan is under Freddie Mac, so just wondering if 1. the broker is correct and 2. if he is, when Freddie Mac loans can be refinanced.

TIA

 

[princesslily]

My mortgage is with GMAC and they told us that there are no programs available to help us. I don't understand how the modification program works. The woman I spoke to said that the bank is willing to forclose on our home period. They will not work with us. I am currently one payment behind. I will have the money for a payment on June 15th and then I will still be one payment behind. Does anyone know what happens then?

 

[cay2420]

I think there seems to be some confusion of what can and can't be done. As I said previously, I am with Bank of America and we a currently doing the Making Home Affordable refinances for both Fannie and Freddie loans that currently DO NOT HAVE PRIVATE MORTGAGE INSURANCE. If you have mortgage insurance on your loan there will be a second phase that will come out in the middle of June. Here is a good website to find more information on Making Home Affordable.

http://makinghomeaffordable.gov/loan_lookup.html

 

[caligirl stuck in va]

We are with Saxon. We were told (within the past month) that these new refinancing loans are not yet available. I questioned the agent as to this and she just kept repeating that the new loans are not available as they have alot to work out. I fully believe that they are available but they are afraid that any "loss" they agree to will not be repaid to them by the government (basically) and they just don't want to do it.

 

[PatriciaH]

Ours has been "in review" or "in process" with Wells Fargo since March. We do have PMI so maybe that is the hold up? Who knows.

 

[Disneyjamie]

We do not have PMI, but were told that the loans just were not available to Freddie Mac holders yet. I was also told that the financial institution that holds the loan has to be the one to refinance the loan (can't use another company). I am thinking if that is true, just to go to our loan holder (Chase) and see if we can refinance directly with them under Obama's plan.

 

[cay2420]

Your lender has to participate in the "Making Home Affordable" plan to be able to do the refinance. Right now, at Bank of America, we can refinance Fannie Mae loans under this plan even if they are currently not with Bank of America (provided that it meets all of the requirements). As far as Freddie Mac goes, we can do them now but only for those who are currently with Bank of America. One thing to know is that the biggest difference in the Fannie Mae plan and the Freddie Mac plan is that if you are eligible for the Fannie Mae refinance you can roll all closing costs in. With Freddie Mac you can only roll up to $2500 back in to the loan and the rest you need out of pocket.

 

[rockin_rep]

Your lender has to participate in the "Making Home Affordable" plan to be able to do the refinance. Right now, at Bank of America, we can refinance Fannie Mae loans under this plan even if they are currently not with Bank of America (provided that it meets all of the requirements). As far as Freddie Mac goes, we can do them now but only for those who are currently with Bank of America. One thing to know is that the biggest difference in the Fannie Mae plan and the Freddie Mac plan is that if you are eligible for the Fannie Mae refinance you can roll all closing costs in. With Freddie Mac you can only roll up to $2500 back in to the loan and the rest you need out of pocket.

Thanks for the helpful information, and thanks OP for starting this thread. I think there are many of dissers trying to modify and the banks are woefully lacking in info and very slow in assistance. I appreciate any additional info found here!

 

[MommaSnowwhite]

I called our lender yesterday (Citi Mortgage) and we are now in the process of doing a mortgage modification using the Obama plan. I went thru the whole refi process and we should know more within a week. Perhaps there is more to what is going on than you think - maybe your lender isn't Freddie or Fannie?!

I forgot to add: I was told that changes were made to the plan around the end of April that gave more clear cut info to the lenders. I had originally contacted our lender in March and I as waiting to hear back from them when I called yesterday (thanks OP for reminding me). I was told that Citi Mortgage had over 49,000 calls requesting mods before the April changes. I think lenders are swamped with changes!

 

[rockin_rep]

I called our lender yesterday (Citi Mortgage) and we are now in the process of doing a mortgage modification using the Obama plan. I went thru the whole refi process and we should know more within a week. Perhaps there is more to what is going on than you think - maybe your lender isn't Freddie or Fannie?!

Not sure if your post was directed to me the PP, or the OP, but ours is definitely freddie mac.

 

[Minnesota!]

Our BFF's just refinanced (signed the paperwork at our house on Saturday, AAMOF) under this new plan. They knocked $1100 off their monthly mortgage! WOO HOO!!

I think he said they have their mortgage though Wells Fargo??? I could be wrong.

 

[cay2420]

We are definately swamped as there are many people that want to do this. Another thing to keep in mind is that if you pay PMI (private mortgage insruance) or you have lender paid mortgage insurance, you are not eligible in Phase I. There is going to be Phase II that comes out around mid month for those that PMI. Also another reminder to those that have a Freddie Mac loan...you will only be able to roll in $2500 in closing costs on top of your loan so be prepared to need money for the rest of closing costs and prepaids.

 

[Disneyjamie]

We do not have PMI, but our loan is through Chase. Anyone know if Chase Freddie Mac loans really are not able to be refinanced through Obama's plan (like my broker says they are not)? That is really what I want to know - if my broker is correct, or just saying this for some reason (I guess I just do not trust/believe him when he says my loan cannot be refinanced at this time under Obama's plan).

 

[cay2420]

Ultimately it is up to the lender/servicer if they want to participate or not. Like I said previously, I work for Bank of America and we are doing refinances for both Freddie and Fannie right now so long as your mortgage is with us. If it is not with us but it is Fannie Mae, then we can do those also.

 

[LovinPooh]

Ours has been "in review" or "in process" with Wells Fargo since March. We do have PMI so maybe that is the hold up? Who knows.

We had been in 'process' with WF since February. Got the approval packet and everything in the mail with the good faith estimates. Called the guy, he told us we just had to wait for an appraiser to call. the guy called yesterday and told us the underwriters changed their minds. The guy had even called and told us that we were locked in for 4%.

 

[Disneyjamie]

Ultimately it is up to the lender/servicer if they want to participate or not. Like I said previously, I work for Bank of America and we are doing refinances for both Freddie and Fannie right now so long as your mortgage is with us. If it is not with us but it is Fannie Mae, then we can do those also.

Thanks, understood you are with BOA.

Other Disers, if you know of Chase going through Freddie Mac loans, would appreciate your response.