A Homeowner Asset Relief Program (HARP) is needed to help homeowners who have been diligent in making their home mortgage payments while keeping their credit history is good stead.
The eligibility requirements are:
1) Have owned your home for at least 10 years
2) Have no history of late payments or defaults
3) Have a good credit history
4) Applies to fixed conforming loans only
HARP details:
Current mortgage rate on the home loan will be reduced to 2.5% for 5 years and gradually increased by 0.5% per year to the current fixed rate carried on the home.
Benefits:
This extra income will benefit the homeowners in meeting financial commitments including reinvesting back into the economy by hiring contractors to perform maintenance on their homes or buying small ticket items for the home.