HARP Share of Refinancing Up to 27% as Mortgage Apps Climb

Mortgage applications jumped 4.5 percent last week from one week earlier, while the share of refinance applications under the government’s HARP effort to help “underwater” borrowers is up to 27 percent.
The Mortgage Bankers Association reports that last week’s calculation includes an adjustment for the Thanksgiving holiday.
Overall, mortgage refinance applications jumped 6 percent based on the group’s index. Applications for the purchase of a home increased only 0.1 percent.
The two types of applications combined make up the mortgage bankers’ composite index, which climbed 4.5 percent.
The refinance share of mortgage activity increased to 83 percent of total applications from 81 percent the previous week.
The HARP (Home Affordable Refinance Program) share of refinance applications increased to 27 percent from 26 percent the prior week.
A newly expanded HARP targets homeowners who are current on payments but are deeply “underwater” on mortgages. An earlier version of HARP targeted homeowners who owed up to 25 percent more on loans over their homes’ worth. Earlier this year, that limit was removed.

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