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Making Home Affordable Program

The Making Home Affordable Program is a part of the Obama Administration’s Financial Stability Plan to address key issues hurting the United States Economy.  Since the National Housing Market plays a critical role in getting the economy back on track, The Making Home Affordable Program is designed to help stabilize the housing market and help struggling homeowners get relief by avoiding foreclosure.  The plans includes four solutions for homeowners currently in financial trouble: HARP, HAMP, HAFA, & 2MP.   

    

   

What is HARP, HAMP, HAFA, & 2MP?

  • H.A.R.P.  =  Home Affordable Refinance Program
  • H.A.M.P.  =  Home Affordable Modification Program
  • H.A.F.A.  =  Home Affordable Foreclosure Alternatives
  • 2M.P. = 2nd Lien Modification Program

 

Home Affordable Refinance Program (HARP)

This program applies to Homeowners with loans currently owned and guaranteed by Fannie Mae or Freddie Mac.  HARP gives these Homeowners an opportunity to refinance their current mortgage into an affordable monthly payment and take advantage of lower interest rates.  This program offers a refinance option to Homeowners who are “current” on their mortgage, but are unable to refinance to a lower interest rate because the value of their homes has decreased.  Only loans owned or guaranteed by Fannie Mae or Freddie Mac are eligible for this refinance program.  Your mortgage company can tell your who owns your loan, or you can contact Fannie May or Freddie Mac directly.   

HARP Details and How to Qualify.   

 

Home Affordable Modification Program (HAMP)

This program gives Homeowners who can no longer make monthly loan payment the opportunity to modify their mortgage in an effort to make their payment more affordable.  Since HAMP’s inception, the program has helped over one million homeowners, and is currently on track to help 3 to 4 million Homeowners by 2012.  HAMP takes aim at Homeowners who are current, but having trouble making their payments, and Homeowners who have missed one or more payments.  In March 2010, the Obama Administration expanded the program’s capabilities for mortgage servicers to assist unemployed Homeowners, Underwater Homeowners, and to help the administration meet its goal of stabilizing the National Housing Market.   

HAMP Details and How to Qualify.   

 

Home Affordable Foreclosure Alternatives (HAFA)

This program applies to Homeowners who can not afford to stay in their home.  HAFA also provides a viable option for those who could not modify or refinance their current mortgage into an affordable payment.  Through HAFA, Homeowners may avoid the negatives effects of a  foreclosure through a  Short Sale or Deed-In-Lieu of Foreclosure.  This program was specifically designed to simplify and streamline the use of foreclosure alternatives by offering Homeowners, Mortgage Servicers, and Investors an incentive for completing a Short Sale or Deed-In-Lieu of Foreclosure.  These two Foreclosure Alternatives allow the Homeowner to leave their home to transition to more affordable housing and eliminate the mortgage debt they currently owe.   

HAFA Details and How to Qualify.   

 

Second Lien Modification Program (2MP)

This program is designed to help Homeowners who struggle to make their mortgage payments because of the 2nd mortgage, also know as the 2nd lien.  2MP offers Homeowners a way to lower their 2nd mortgage payment to affordable levels.  The program offers Homeowners, their mortgage servicers, and investors an incentive for modifying a 2nd mortgage since these debt obligations often complicate HARP & HAMP.  Servicers and investors may receive an incentive if they forgive the debt a Homeowner owes. 

2MP Details and How to Qualify.