The Federal Housing Finance Agency (FHFA) directed Fannie Mae and Freddie Mac to exend the Home Affordable Refinance Program (HARP) by two years to December 31, 2015. The program was set to expire on December 31, 2013.
“More than 2 million homeowners have refinanced through HARP, proving it a useful tool for reducing risk,” said FHFA Acting Director Edward J DeMarco. “We are extending the program so more underwater borrowers can benefit from lower interest rates.”
In addition, FHFA will soon launch a nationwide campaign to inform homeowners about HARP. This campaign will educate consumers about HARP and its eligibility requirements and motivate them to expore their options and utilize HARP before the program ends. HARP is uniquely designed to allow borrowers who owe more than their home is worth the opportunity to refinance their mortgage. Extending the program will continue to provide borrowers opportunities to refinance, give clear guidance to lenders and reduce risk for Fannie Mae, Freddie Mac and tax payers.