TheMReport — News and strategies for the evolving mortgage marketplace.
Issue link: http://digital.themreport.com/i/81276
THE LATEST ANALYTICS New HARP Bill Would Result I Affordable Refinance Program (HARP) by up to 13 million. That's the consensus reached f it becomes law, a Senate bill could increase the number of homeowners who refinance under the Home by professors with Columbia University Business School, who recently released a study on the topic. The study sketched the likely effects of a bill recently co-sponsored by Sens. Barbara 60 | THE M REPORT Boxer (D-California) and Robert Menendez (D-New Jersey). Researchers said that new HARP modifications could lead to roughly $35 billion in savings for homeowners, a number that could help stem the rate of fore- closure activity nationally. The savings could result in in 13M New Refinances Educators from Columbia University unveil the results of a new study that forecasts the future of refinancing. a windfall for certain states, especially those that continue to feel the brunt of foreclosures and state budget shortfalls. strapped California could see more than $5.6 billion in annual savings, the most of any state, with about 1.3 million homeowners eligible to refinance under new condi- tions. California homeowners who refinance under the new program would save $4,133 on average. Other hard-hit states that could The researchers found that cash- rake in billions in annual savings include Florida ($3 billion), New York ($2.6 billion), Texas ($2.5 billion), Illinois ($1.8 billion), New Jersey ($1.7 billion), and Georgia ($1.3 billion), among others. The researchers said that a boon for refinance opportunities could stem the tide of foreclo- sures. According to their report, more than 2.7 million home- owners had lost their homes to foreclosure by February this year, with many more on their way down the pipeline. "At a time when agreement is rare in Congress, everyone should come together to encour- age more refinances," said Mike Calhoun, president of the Center for Responsible Lending, which posted the report recently. "We urge Congress to go forward with this legislation as it is, with no controversial side provisions that could derail this important bill or undercut con- sumer protections," he added. SECONDARY MARKET ANALYTICS SERVICING ORIGINATION