Foreclosure Prevention Program Extended Through 2015
The U.S. Department of Treasury and the Department of Housing and Urban Development (HUD) announced today that the Home Affordable Modification Program (HAMP) has been extended for an additional two years. The program, which is designed to help struggling homeowners avoid foreclosure by lowering their monthly mortgage payments, was previously set to expire at the end of December 2013.
This extension ensures that eligible homeowners will continue to have access to HAMP’s mortgage relief through December 31, 2015, which is also the deadline for the recently extended Home Affordable Refinance Program (HARP) as well as Fannie Mae and Freddie Mac’s new Streamlined Modification initiative.
As the organization that provides free housing counseling for homeowners applying for all Making Home Affordable initiatives, including HAMP and HARP, HPF heartily supports the extension. HPF’s HUD-approved housing counselors are standing by at 888-995-HOPE (4673) to answer homeowners’ questions about the programs and to offer independent, third party guidance to all those who are struggling with their mortgages.
A few facts about HAMP:
- Since March 2009, more than 1.1 million homeowners have received permanent loan modifications via the HAMP program
- HAMP modifications lowered a homeowner’s mortgage payment by an average of $546, which equates to a 38% savings
- The HAMP program was extended in June 2012 to include homeowners who: are applying for a modification on a home that is being used for rental purpose, have a debt-to-income ratio that is 31% or lower, or defaulted after receiving a HAMP modification during the trial period or after it had become permanent
For more information about the eligibility requirements for HAMP, visit the Making Home Affordable website at www.makinghomeaffordable.gov or call 888-995-HOPE (4673) to speak with a professionally trained housing counselor.