Senator Barbara Boxer praised the Federal Housing Finance Agency for announcing that it will work to make changes to the Home Affordable Refinance Program (HARP) which would allow millions of American homeowners who are non-delinquent in their payments, but who are underwater on their homes, the opportunity to refinance at today’s low rates.

Senator Boxer said, “I am heartened that the Federal Housing Finance Agency is moving toward reducing the barriers that have kept millions of homeowners from refinancing, which is what Senator Isakson and I have proposed in our bipartisan Helping Responsible Homeowners Act.”

Boxer’s bill S. 170, the Helping Responsible Homeowners Act of 2011, would remove the barriers that have prevented millions of homeowners from refinancing at today’s historically low interest rates. Under Boxer’s bill, homeowners with government backed mortgages who are not behind in their payments would be allowed to refinance and take advantage of these lower rates, even if they are underwater in their homes. Boxer’s bill would eliminated risk-based fees on loans that are already backed by Fannie Mae or Freddie Mac, remove refinancing limits on underwater properties, make it easier for borrowers with second mortgages to participate in refinancing programs, and would require that lenders give homeowners who are underwater a fair interest rate, comparable with other homeowners in good standing whose properties have not dropped so far in value.

“The time to help struggling homeowners is now – while interest rates remain at near-historic lows,” Senator Boxer said. “This legislation would help millions of responsible homeowners who are making their payments, but are still struggling to make ends meet. By helping these homeowners refinance at lower rates, we will put thousands of dollars back into the pockets of families and strengthen our economy.”