Posted by Juan Chioye on 9/6/13 6:04am Msg #483394
Harp 3.0 Prognosis.
I don't know what to make of this...
http://www.govtrack.us/congress/bills/113/s249
http://www.govtrack.us/congress/bills/113/hr736#overview
What do they base this prognosis on?? I wish I could of tracked Harp 2.0 years ago so as to take have a basis on what those percentages mean. But 2 percent chance in being enacted into law does not sound very assuring if you take them at face value.
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Reply by ME/NJ on 9/6/13 8:20am Msg #483407
Harp 3 reminds me of the trouble that started it all in the first place. President in the past said everyone should own a home and banks just gave away money. Fact is and most of us know, not everyone can afford a home. Harp 3 is an extension of this thought and we the taxpayers would be on the hook. Yes would love to see it go through for business but I think all we would be doing is repeat of history.
My area short sales have picked up and flipping is on the rise again.
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Reply by redd on 9/6/13 8:23am Msg #483409
What ME/NJ said - NM n/m
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Reply by Bear900/CA on 9/6/13 10:32am Msg #483431
Were you also against HARP 2.0?
That provided you and other NSAs with tons of work, but mostly allowed honest, hardworking, good-paying home owners the chance to lower their interest and payments on loans that were up-side down, perhaps staving off huge walk-aways?
I didn't think so.
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Reply by Notarysigner on 9/6/13 9:41am Msg #483418
Re: Harp 3.0 Prognosis. ..Really doesn't matter.
When everybody has a home and lot's of money,.....the government will turn rocks into money.
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Reply by Bear900/CA on 9/6/13 11:04am Msg #483439
HARP 2.0 came out when the economy was still in a ditch and everyone knew the housing market needed to be resuscitated. It helped many hard working current paying homeowners to obtain lower interest rates and payments when they would otherwise be unable to refinance.
This helped many people from walking away. For some, equity went up enough to make it worthwhile staying or able to sell.
These were loans purchased by Fannie and Freddie to their guidelines, loans that the government now owns through the purchase of MBS at the tune of 85B/month.
Has this helped the economy? Time will tell.
In the meantime, there are many other hardworking, good-paying, perhaps self-employed, or first time buyers that took out unconventional financing. Their loans were sold to private investors. They may be underwater but don’t have the option to refinance and still pose a threat to our economy and to themselves.
So what’s going on??
They are the red-headed step-children who the government has less incentive to deal with since they don’t own the loans. The housing market is also improving slightly so incentive is waning. The recent good jobs report is giving the Feds more reason to back of buying MBS this month. Why put more coins in the cup that private investors are holding?
I would now say that HARP 3 has little fuel to get off the ground and any pushing will be a more abysmal failure then HARP 1. What you see coming out of Congress (nothing) is the best prognosis for that.
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