Does HARP refinance of an Underwater House add PMI payments on top

This is tough to answer right now. HARP and HARP 2.0 are both the same programs to my knowledge. They have only just extended the guidelines more over the original program. What you are going to want to keep a look out for is the HARP 3.0, as it will allow non-government sponsored entity loans to qualify, meaning Fannie Mae or Freddie Mac will no longer be required. Through HARP 2.0, if you currently don't pay mortgage insurance or private mortgage insurance, you won't have to take on any after refinancing. I would hope it'd be for the same HARP 3.0, but it's all speculation currently.

Ok, so first under the current HARP program, if you don't have mortgage insurance, you won't have it on the new loan.. if you have it now, then you will continue to pay the same amount on the new loan. If your loan is not held by Fannie/Freddie, it won't qualify under HARP 2.0. As far as HARP 3.0, the rumor is that it will be an FHA product.. Currently FHA charges 1.25% of the loan amount divided by 12 months to come up with your monthly mortgage insurance premium (in your scenario it's $319 per month).. it's hard to say if this will be the charge on the HARP 3.0 program since no details are out yet.. it's also hard to determine what the interest rates will be in 6 months, and which lenders will pick up the program, and if those lenders will have Overlays, or additional guidelines on top of the HARP 3.0 guidelines... so stay tuned!!! help is on the way... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

If you do not have PMI now, then under HARP you will NOT have PMI either, regardless of the LTV. Instead of trying to guess what you can and can't do, you should work with a licensed professional. Contact a local Mortgage Banker /Broker. DON'T use one of the big banks, DON'T use one of the big national Mortgage factories, and DON'T use the people you are currently making payments to. We have heard that the big banks are already advising their customers that it could be a 4-6 month lead time before they will be able to close escrow. You shouldn't have to wait. The local or regional Mortgage Banker/Broker is better equipped to handle the volume. We tend to be much more nimble in adding or moving personnel to accommodate a spike in volume. The big guys don't want to hire more people, so instead you wait and wait and wait. Another benefit is that your local Mortgage Banker has access to all the lending sources, allowing for an easier fit into the lender or program that makes the most sense. Whoever you choose, make sure you check them out at the National Mortgage Licensing System at www.NMLSConsumerAccess.org ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ www.LoansA2z.com