Obama administration officials have identified several constraints on the HARP program – including mortgage buyback risk – that are keeping Fannie Mae and Freddie Mac seller/servicers from refinancing underwater borrowers. 

The administration is trying to work with Federal Housing Finance Agency to fix the Home Affordable Refinancing Program (HARP). "We will work closely with director DeMarco to remove or reduce the tensions in the HARP program," a U.S. Treasury spokesman said. Edward DeMarco, the acting FHFA director, must approve any changes to the HARP program. 

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.