To be eligible for the Home Affordable Refinance Program, a person must have a mortgage through Freddie Mac or Fannie Mae that is in good standing. The loan can't have been refinanced previously through HARP, and the Loan-to-Value ratio must be higher than 80 percent.
The purpose of HARP is to help people who are current on their mortgages but have not been able to receive refinancing on their homes through traditional banks. It is designed to help families, whose homes' values have declined, to receive a stable mortgage. To be eligible, a person must still fill out a loan application, go through the underwriting process and pay refinancing fees.