FHFA Enlists Local Leaders in HARP Recruitment Drive

The Federal Housing Finance Agency (FHFA) is making<banother attempt to reach homeowners who might benefit from its Home AffordablernRefinance Program (HARP).  FHFA feelsrnthat there are hundreds of thousands of homeowners who may not be aware thatrnthey are eligible for HARP or that they could save two to three thousandrndollars on mortgage payments each year by refinancing through the program. </p

A new campaign launched today willrnattempt to reach borrowers considered “in-the-money” through local communityrnleaders, faith-based organizations, elected officials, and lenders.  The first in a planned series of town-hallrnstyle meetings with local representatives is scheduled for July 8 in Chicago wherernit is thought there are approximately 36,000 Chicago residents who couldrnbenefit from the program. </p

FHFA Director Mel Watt will attendrnthe Chicago event at which Sandra Thompson, FHFA’s Deputy Director for HousingrnMission and Goals, will moderate a panel discussion featuring Director Watt,rnofficials from Fannie Mae, Freddie Mac, Wells Fargo and a community leader fromrnNeighborhood Housing Services of Chicago, Inc.  Event attendees willrnreceive a dedicated toolkit specific to Chicago describing in greater detailrnthe elements of HARP and how borrowers stand to benefit from the program andrnwill be asked to share the information with area residents. </p

FHFA will announce future HARPrnevents in the coming weeks.  The agencyrnis targeting areas which have the highest numbers of “in-the-money”rnborrowers who have yet to take advantage of a HARP refinance.  Borrowersrnare considered “in-the-money” if they meet the basic HARP eligibilityrnrequirements, have a remaining balance of $50,000 or more on their mortgage andrna remaining term greater than 10 years, and their mortgage interest rate is atrnleast 1.5 percent higher than current market rates.</p

“We know that there arernhundreds of thousands of borrowers who can still benefit from HARP and arernessentially leaving money on the table by not taking advantage of thernprogram,” said Watt.  “By engaging directly with local communityrnleaders, faith-based organizations, local elected officials and lenders, ourrngoal is to leverage these trusted sources to reach as many ‘in-the-money’rnborrowers as we can.”</p

The HARPrnToolkitâ€