FHFA: Refinance Volume Increases in Fourth Quarter 2017

The Federal Housing Finance Agency (FHFA) today reported that Fannie Mae and Freddie Mac completed more than 446,295 refinances in the fourth quarter of 2017, compared with 362,934 in the third quarter.  FHFA’s fourth quarter Refinance Report also shows that 6,309 loans were refinanced through the Home Affordable Refinance Program (HARP), bringing the total number of HARP refinances to 3,484,025 since inception of the program in 2009.

According to new data released today, 88,841 borrowers could still benefit financially from a HARP refinance as of September 30, 2017.  These borrowers meet the basic HARP eligibility requirements and have a remaining balance of $50,000 or more on their mortgage, a remaining term on their loan of greater than 10 years, and a mortgage interest rate that is at least 1.5 percent higher than current market rates.  These borrowers could save an average of $2,290 annually by refinancing their mortgage through HARP.  See the new, updated U.S. map showing the number of HARP-eligible borrowers by state, Metropolitan Statistical Area, county and zip code.

Also in the Refinance Report:

  • Through the fourth quarter of 2017, 26 percent of HARP refinances for underwater borrowers were for shorter-term 15- and 20-year mortgages, which build equity faster than traditional 30-year mortgages.
  • Through the third quarter of 2017, nine states and one U.S. territory accounted for more than 70 percent of borrowers who remain eligible for HARP and have a financial incentive to refinance:  Illinois, Florida, Michigan, Puerto Rico, New Jersey, Ohio, Pennsylvania, Georgia, Alabama and Maryland.
  • Borrowers who refinanced through HARP had a lower delinquency rate compared with borrowers eligible for HARP who did not refinance through the program.

Link to Refinance Report

Link to HARP.gov

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