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Can I refinance a rental property through HARP?

By   |  Posted in Ask The Expert

Q: Does HARP allow refinancing a rental property?

A: The general answer is "yes," you can refinance a property under HARP if it is a rental. Of course, the loan must still be owned or backed by Fannie Mae or Freddie Mac, and have been securitized prior to June 1, 2009. Also, your loan-to-value ratio will need to be above 80 percent to be eligible. This of course applies to a property you once occupied but no longer do.

If you meet the date and LTV requirements above, you can see if your loan is owned by Fannie Mae or Freddie Mac by using the loan lookup tools.

Also, you must have paid your mortgage on-time for the last six months and on-time payments must have been made for at least 11 out the 12 most-recent months. Lastly, you can only refinance through HARP once.

About the author:

KTGA 25-year expert observer of the mortgage and consumer debt markets, Keith Gumbinger has been cited in thousands of articles covering a wide range of consumer finance and economic topics in outlets ranging from the Wall Street Journal to the Bottom Line newsletters. He has been a featured guest on national broadcasts for CNN, CNBC, ABC, CBS and NBC television networks and has been heard on NPR and other national and local radio programs. Keith is the primary researcher and writer for HSH.com's MarketTrends newsletter and has authored or co-authored a number of consumer guides on mortgages, home equity, refinancing and more.

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