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If you had a HARP loan that greatly reduce the principal balance of your mortgage, do you have to pay that back when you sell?

by jschacht09343 from Indianapolis, Indiana. Apr 7th 2018 Reply


William J Acres (William_Acres)
#74 ranked lender in Arizona - 8,728 contributions

HARP loan's did not reduce principal.. only HAMP loans offered principal reduction.. Some principal reductions were "Forbearance" reductions, meaning the amount was stuck on the back end of the loan and was not subject to payments or interest, but was recaptured (you pay it back) when you sold your home.. other principal reductions were "Forgiveness".. reductions.. for these, the answer is no.. it was not subject to recapture/repayment.. but the only way to know is to dig out your loan mod paperwork and read it.. if you don't understand the terminology.. then pay an attorney to review it for you.. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / RPM Mortgage NMLS 1541014 / AZMB0121893

Apr 10th 2018
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