DU Refi Plus Program Helps Struggling Homeowners Refinance

TheDU Refi Plus refinance was created under the Making Home Affordable Program, and can beadvantageous forhomeowners that currently find themselves underwater on their mortgage. The program allows somehomeowners the opportunity to refinance at today's historically low interest rates with loan amounts as high as 125% of your home's appraised value. In many cases, the borrowermay not even be required to have an appraisal done ontheir home.



There are a number of guidelines that must be followed to qualify for a DU Refi Plus mortgage, but the most important is that your loan currently be owned by Fannie Mae. Many homeowners make the mistake of thinking that because their mortgage statement does not specifically state "Fannie Mae", it must not be a Fannie Mae owned mortgage. This is not necessarily the case. The best way to find out if your loan is owned by Fannie Mae is by visiting Fannie Mae Lookup.



Once you have determined that your loan is owned by Fannie Mae, the next step is to contact a qualified mortgage professional that has experience with DU Refi Plus mortgages. A typical scenario for a DU Refi Plus mortgage is when someone puts down twenty percent when they bought their home, but because of the economic downturn their home has depreciated a substantial amount. The DU Refi program allows the borrower that originally put down twenty percent to refinance without having an appraisal completed and without having to pay mortgage insurance. Although this example is typical it is not the only scenario in which someone can benefit from a DU Refi Plus.



The Making Home Affordable Program also has another loan called the DU Refi. The DU Refi is available to a broader spectrum of homeowners, but can only be done through the lender currently servicing your loan. Homeowners that believe they may be underwater on their mortgage should contact a qualified mortgage professional to find out what options they have for refinancing.



Joe Jesuele is the co-founder of NJ Mortgage, a financial services company based in Moorestown, NJ. He is also the founder and president of Northern Liberties Real Estate. Northern Liberties Real Estate is a residential and commercial real estate development company based in Philadelphia, PA.