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Home Affordable Refinance

Government home loan refinancing program. As part of the federal government's Making Home Affordable program, the Home Affordable Refinance Program was developed to help you if you don't qualify for a traditional refinance.

Is a Home Affordable Refinance right for me?

Program goal

The goal of the government’s Home Affordable Refinance Program is to help make monthly mortgage payments more affordable for customers who may not have sufficient equity in their home to qualify for traditional refinancing.

Eligibility

You may be eligible for refinancing your home loan under the Home Affordable Refinance Program (HARP), if:

your home loan is owned by Fannie Mae or Freddie Mac

How do I know?

To find out if your loan is owned by Fannie Mae or Freddie Mac, simply call the toll-free numbers below or use their online lookup tools.

Fannie Mae:

1.800.7FANNIE (8am to 8pm EST) www.fanniemae.com/loanlookup Opens a new window

 

Freddie Mac:

1.800.FREDDIE (8am to 8pm EST) www.freddiemac.com/mymortgage Opens a new window

your current mortgage was taken out before January 1, 2009

your loan was sold to Fannie Mae or Freddie Mac on or before May 1, 2009

your first mortgage is 80% or more of your home’s value (this is also
referred to as your loan-to-value (LTV) ratio)

Estimate your LTV ratioen_harp_calculation

This calculator will help you estimate your current LTV ratio and help you determine if your percentage falls within the government’s guidelines.

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According to the numbers you entered, your loan-to-value ratio is 80% and you may qualify for refinancing.

According to the numbers you entered, your loan-to-value ratio is greater than 80% and you may qualify for refinancing.

According to the numbers you entered, your loan-to-value is less than 80% and does not meet the Home Affordable Refinance Program’s requirements. You may still be able to reduce your mortgage payments through the Home Affordable Modification Program.

Based on the numbers you entered it looks like you might have made a mistake. Please check the numbers that you entered and try again.

you are current on your mortgage payments (not more than 30 days late on any of your payments in the last 12 months)

Other options may still be available. If your mortgage payments are more than 31% of your monthly gross income, you may qualify for a loan modification under the federal government's Home Affordable Modification Program. You can also view a full list of our loan assistance solutions.

Program at a glance

  1. Call icon

    Step 1: Call and update us on your current financial situation. We’ll begin to review your information and check your eligibility.

  2. Review icon

    Step 2: We may order an appraisal of your home and pull a credit report to verify your financial information. We will contact you throughout the process to keep you up to date on the status of your application. It is important that you submit any documents that we request as soon as possible to avoid any delays.

  3. Approval icon

    Step 3: Evaluating your application may take approximately 75 days from your initial call. Once a decision has been reached, you’ll receive a letter informing you of the final decision. If approved, you will receive a call from us to schedule the closing of the loan.

  4. Closing icon

    Step 4: You will go through a closing process similar to when you first purchased your home. You will sign the closing documents and be required to pay the closing costs at this time, unless some or all of your closing costs can be financed into the loan amount.

Get more details on the Home Affordable Refinance Program.

How do I get started with a Home Affordable Refinance?

Getting started with a Home Affordable Refinance begins with a phone call. We will be able to take your financial information over the phone and fill out an application with you.

Collect your financial information

Before you call, you should first gather a set of documents that contain the information we’ll need for everyone listed on your home loan. So, you’ll need to collect your most recent:

pay stubs, or, if self-employed, quarterly or year-to-date profit/loss statement

bank statements for all checking and savings accounts

tax return

Let us help you

Call us today at:
1.800.669.6607

7am-7pm local time

To help you keep track of important deadlines and take notes during the call, please print out this form prior to calling.

Now that I’m in the process, what’s next?

If you’re already in the process of refinancing your loan through the federal government’s Home Affordable Refinance Program, we can help you understand what you need to do next.

I have called and submitted my information

Once you’ve called and updated us on your financial status, we’ll begin to review and verify your information. This will include pulling a copy of your credit report.

Also, to confirm that your loan-to-value (LTV) is 80% or more, we will need to determine the current value of your home. To do this, it may be necessary to order an appraisal.

I have submitted my financial information and am awaiting approval

Evaluating your application will take approximately 75 days. We will contact you during this time to update you on your status.

We may also contact you if further documentation is needed to determine your eligibility. To avoid delays, it is important that you get us these documents as soon as possible.

Other options may still be available. If your mortgage payments are more than 31% of your gross monthly income, you may qualify for a loan modification under the federal government's Home Affordable Modification Program. You can also view a full list of our loan assistance solutions.

I have received a letter regarding my eligibility

If approved, you will receive a phone call from us to schedule the signing of the new loan papers, otherwise known as a closing.

If you did not qualify for a Home Affordable Refinance, you may still be eligible for other home loan assistance solutions that could help make your monthly payments more affordable.

It is important that you continue to make your normal home loan payments until you sign the loan documents and your refinance takes effect.

I have scheduled a closing for my refinance under the Home Affordable Refinance Program

Just like when you first bought your home, you will go through the closing process before your refinancing becomes effective. At the closing, you will need to sign a full set of loan documents and pay for closing costs, unless all or some of them were financed into the loan amount.

Now that you've got a new monthly payment amount, it's a good time to see how it fits in with your other financial obligations. You'll want to make sure that the payment amount is sustainable over the long run - and an updated budget is an effective way to do this.

A realistic budget lets you take a close look at exactly how much money you have coming in, and where it's going. You'll be able to see where you may be spending too much and identify specific areas where you may be able to cut back.

Plan your budget »

Home Loan Assistance Frequently Asked Questions

If you are current on your mortgage and you are unable to find a lower interest rate because your home’s value has decreased, you may be able to refinance under the Home Affordable Refinance Program. The Home Affordable Refinance Program allows homeowners from qualifying lenders to apply for refinancing their home even if the loan amount exceeds the current value of the home. That value is based on the recent sales of other houses close in size and similar to the quality of the neighborhood.

When you apply for a refinance at Bank of America, you will receive a Truth in Lending Disclosure Statement containing your new interest rate, mortgage payment and the amount you will pay over the life of the loan. Our Clarity Commitment® document, a one-page summary of key loan terms written in plain language, is designed to help you better understand what you're getting.

Together with your home retention specialist, you can compare the Truth in Lending Disclosure Statement and Clarity Commitment® to your current loan. If the proposed new payment is not an improvement, the Home Affordable Refinance Program may not be right for you and you are under no obligation to continue.

But you might want to consider the possible advantages of refinancing from an adjustable rate loan to a fixed rate loan, or eliminating higher risk loan terms such as interest-only payments or balloon payments. This may help provide you with more long term stability. It is important to know that when refinancing lowers your monthly payments, it may increase the total number of monthly payments and/or the Total of Payments (shown on the Truth in Lending Disclosure Statement) when compared to your current situation.

You may qualify if your first mortgage is at least 80% of your home’s value (this is also referred to as your loan-to-value (LTV) ratio). For example, if your home is worth $250,000, and you owe more than $200,000, you may qualify. The current market value of your home will be determined after you apply.

As long as what you owe on the first mortgage is at least 80% of your home’s value, you may still be eligible for refinancing under the Home Affordable Refinance Program. A refinance will depend on your second mortgage lender agreeing to remain as the “second” lender and on your ability to make the new payments.

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This calculation is for informational purposes only, is based upon unverified information you provided at our website and should not be construed to mean that you qualify for a home loan refinance . We are required to consider other factors in assessing whether you qualify for a home loan refinance.

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Loans initially underwritten and purchased by Freddie Mac as owner-occupied primary residences where current occupancy is classified as either "investment" or "2nd home" are not eligible for the Making Home Affordable program.

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The summary is provided as a convenience, does not serve as a substitute for a borrower's actual loan documents, and is not a commitment to lend. Borrowers should become fully informed by reviewing all of the loan and disclosure documentation provided.

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Refinancing may increase the total number of monthly payments and/or the total amount paid when compared to your current situation.

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Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice.