A new survey suggests that opportunity exists for borrowers who were previously turned down when they applied for a refinance.
The survey of borrowers who refinanced through the Home Affordable Refinance Program found that 51 percent had previously been denied.
Of those HARP borrowers who were previously turned down for a refinance, more than half received lender denials multiple times.
The survey of 253 HARP borrowers was conducted by loanDepot.
The Foothills Ranch, Calif.-based company said that 57 percent were turned down because their loan-to-value ratios were too high, while 17 percent said they had poor credit at the time.
“Many underwater HARP-eligible homeowners have been turned down before, and they now assume they can’t get help,” loanDepot Chief Economist Jim Svinth said in the press release. “Requirements have changed, making it possible for loanDepot to give financial relief to even more homeowners.”
loanDepot hopes to capitalize on this group and generate new mortgage leads by hosting a HARP webinar this month.