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Here are the highlights of the upcoming Home Affordable Refinance Program (HARP) 2 (program designed to help underwater homeowners to refinance):

• The cap of 125% LTV has been removed.
• Streamlined underwriting. No requirement for physical appraisals in many cases, speedy processing and the the elimination of fees imposed by Fannie Mae and Freddie Mac in recent years.
• Only loans owned or guaranteed by FNMA or FHLMC are qualified.
• Loans must be purchased or securitized on or before May 31, 2009. 
• Can have 1 X late within the last 12 months but not in most recent 6 months.
• May be used for primary, second home or investment property.
• Maximum loan amount in King, Pierce, and Snohomish is $506,000 for 1 unit property and $618,300 for 2 unit property. In San Juan county - $483,000 for 1 unit property and $618,300 for 2 unit property.
• Must have qualifiable income. Consult me if you are unemployed but cash rich.
• Must be current on mortgage and all other bills as reported on credit report.

If neither FNMA nor FHLMC owns your mortgage, call the U.S. Department of Housing and Urban Development (HUD) at 800-569-4287 or visit HUD approved counseling agencies for FREE consultation.

Some pointers regarding HARP refinancing:

• You do not have to reset the clock back to 30 years of mortgage payments. We can offer you a term ranging from 10 to 30 years for the new loan. Most homeowners opt for a 30 year term and this does entail a new 30 years of payments. However, with the lower interest rate and if you continued paying the original mortgage payment (extra amount) every month, less interest would be paid over time and the loan would be paid off faster than the original would have been.
• You do not have to have sufficient cash up front to pay closing costs. We can evaluate if closing costs can be rolled into the new loan.