PMI options have changed. Part II of this post can be found here:
If you’re reading this post, you probably found this trying to figure out how to refinance your HARP loan that has PMI (Private Mortgage Insurance). Many of you have read my post about how Bank of America won’t do PMI HARP loans they service (http://www.keaneloans.com/2009/07/28/another-flaw-with-the-harp-program).
As it stands now, there are only a few confirmed sources that you can do a PMI HARP loan. FYI, this list is VERY limited. I will keep this updated as time goes along:
- Wells Fargo- Wells Fargo will do loans serviced by Wells Fargo and have PMI. You must contact a Wells Fargo loan officer. (if you want a referral, please contact me on my “Contact” page”
- Flagstar Bank- Flagstar Bank will do HARP loans through with PMI and even allow mortgage brokers to do these loans when brokered to Flagstar. This is the ideal situation and what every lender should do. This means you can contact Flagstar directly or any lender who works with Flagstar
- GMAC- GMAC now allows PMI loans to be refinance under HARP if you apply with GMAC directly. What I don’t like about their method is that they have closed many of their retail locations. Clients who have called their other retail division, Ditech, haven’t always gotten the service they need on these loans. Even though I prefer lenders allow others to do loans for them, like Flagstar, I still appreciate that GMAC is trying to help. However, their loan origination departments are too small to really touch base with all their clients. It would be nice if they allowed correspondent lenders or brokers do these for them.
- Chase- I have confirmed that Chase will do these. (also contact me if you want their contact info)
- Bank of America (UPDATED 1/24/2012)- Bank of America is now allowing PMI loans to be refinanced under HARP if the loan is serviced by them
That’s it. If anyone has heard of any other lenders who do these, please contact me so I can add it. I will start a prospect list on this post and keep it separate from the list above. I do this because I’ve heard too many stories of people who say they can do this but cannot.
While talking to a client who contacted me, we talked about starting a petition to help homeowners refinance HARP loans. I started one. If you have a loan you can’t refinance because it has PMI or you don’t believe in this restriction, please sign the petition. It can be found here:
PMI companies are starting to allow their clients to convert their Lender Paid Mortgage Insurance to Monthly Mortgage insurance to help homeowners refinance under HARP. If you have Lender Paid Mortgage Insurance and need to refinance, check who your PMI company is and see if they will offer this. Also, I’ve found a small group of lenders who will offer PMI HARP loans not serviced by them. Email me if you would like a referral.
Update March 11, 2011:
HARP has been extended until June of 2012. Please take advantage of this extension and let your government leaders know we need help with customers with PMI backed loans.
If you want to read my extensive guide on HARP, you can find it here: