Black Knight has announced that it is facilitating a Streamlined Subordination Program for Home Affordable Refinance Program (HARP) loans on behalf of many lenders and servicers in the mortgage industry. The goal of the program is to improve consumer access to HARP loans by enhancing the efficiency of the first lien refinance process. As part of this process, participating financial institutions agree to follow a standardized process to permit second liens to remain in the subordinate position upon the refinancing of the first lien. As a result, the HARP Streamlined Subordination Program can significantly reduce the timeline associated with completing HARP loans, while retaining safety and soundness for the second lien servicer and increasing borrower satisfaction.
The HARP Streamlined Subordination Program is designed for no cash-out rate and term refinance loans as defined by the Making Home Affordable Program.
"All parties in the transaction benefit from this program," said Al Verkuylen, executive vice president of Title and Escrow Strategy at ServiceLink, a Black Knight company. "In addition to the enhanced process efficiencies gained by the first lien originator and second lien servicer, the speed with which the subordination agreement is returned improves borrower satisfaction."