Are Properties in a Florida Land Trust Ineligible for HARP?

Tom in Oviedo had a rental property he refinanced with Chase and was informed he has two properties eligible for HARP. He took the properties out of a standard, revocable Florida Land Trust, put them into his name to get financing, and then put them back into the Florida Land Trust. He asks Robert Palmer if that makes him ineligible.

Individual lenders have different requirements when it comes to trusts. RP Funding looks at whether the trust is revocable, who the trustees are, who the beneficiaries are, but just the fact that it is in a trust alone wonâ??t make you ineligible for HARP. As far as income, when you go servicer to servicer, they have the option to let you do the HARP no matter what your debt to income ratio shows. This can only happen when you go same lender to same lender, because they have the option to do a manual underwrite to ignore the software.