Mispricing Risk ---- American Style!

History has not dealt kindly with protracted periods of low risk premiums.

Got a Jacques Cousteau Snorkel Mortgage on your fabulous shack and need to refinance into an even cheaper interest rate than you already have???? No problem.  Uncle Shylock Sam has got you covered via the Home Affordable Refinance Program and it is thought that in 2012, there will be no limit on the loan to value ratio!!!!   Buying votes in an election year from important states like NY, FL and CA via mortgage refinancing....damned if these grifters ain't good!

5. How do I know if I am eligible for a refinance under HARP?

You may be eligible if:
The mortgage MUST be owned or guaranteed by Fannie Mae or Freddie Mac.
The mortgage MUST have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009. (back in the good old bubble days)
The mortgage CANNOT have been refinanced under HARP previously unless it is a Fannie Mae loan that was refinanced under HARP from March-May, 2009.
The current loan-to-value (LTV) ratio MUST be greater than 80% - NOTE THAT ONE KIDS***MUST BE GREATER THAN 80% LOAN TO VALUE***
The borrower MUST be current on the mortgage at the time of the refinance, with no late payment in the past six months and no more than one late payment in the past 12 months.
You have a reasonable ability to pay the new mortgage payments.
The refinance improves the long term affordability or stability of your loan.