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Fannie Mae Home Affordable Refinance

Home Affordable Refinance Options
As part of the Making Home Affordable program, Fannie Mae is offering refinances of existing Fannie Mae loans. The goal of the refinance initiative, as announced by the President, is "to provide access to low-cost refinancing for responsible homeowners suffering from falling home prices." The expectation is that refinancing a Fannie Mae loan will put responsible borrowers in a better position by reducing their monthly principal and interest payments or moving them from a more risky loan structure (such as interest-only or short-term ARM) to a more stable product.

Home Affordable Refinance provides two options for Fannie Mae lenders to provide Fannie Mae to Fannie Mae refinance solutions to eligible borrowers:

1. Refi Plus™, which requires manual underwriting, and
2. DU Refi Plus™ for loans underwritten through Desktop Underwriter® (DU®).

Highlights
Expanded opportunities for Fannie Mae to Fannie Mae refinances through Refi Plus, which requires manual underwriting, and DU Refi Plus forloans underwritten through Desktop Underwriter (DU) A solution for borrowers with LTVs above 80 percent who currently maynot be able to refinance because of existing MI coverage requirements LTVs up to 105 percent on the new loan and additional underwriting.