Eligibility Criteria for HAMP Loan Modification Program
sapan | Loan Modification | July 26th, 2010 Comments Off
The Obama loan modification program was designed to help millions of homeowners who were affected in recession. Obama has allocated $75 billion in funding for the homeowners to shun foreclosure of their homes. Loan modification plan allows getting a reduction in the interest rate and the principal amount of the loan.
Among the different home loan modification plan, HARP federal home affordable refinance is one among them. This program aids the homeowners to refinance the mortgage as their home value has decline due of recession.
Requirements of HARP
• Balance of mortgage should not exceed 125% of the home value.
• In the last 12 months, the mortgage payments should not be more than 3 days late
• This plan is for mortgage owned.
• One should have enough income to pay back the new monthly mortgages
Avail Home Affordable Refinance Program
The other type of mortgage refinance is called as HAMP program. It’s the home affordable modification program. It helps those homeowners who had undergone financial hardships like loss of household income, death of spouse, loss of job. In this plan the home mortgage is altered without refinancing.
Requirement of HAMP
• The property should be the primary residence of a person
• One should able to prove that he is going through financial hardships
• The mortgage period should be effective from January 1, 2009
• The monthly mortgage payment should be greater than 31% of pre-tax monthly income
• The loan amount should be less $729,750 or less for single family unit, $934,200 for duplex unit, $1,129,250 for triplex unit and $1,403,400 for 4 home units.
Avail HAMP loan modification program here!
These making home affordable program guidelines are necessary to get the eligibility for HAMP program. It’s very important in home loan modification to consult a professional who knows the rules of this program and thus can direct forward according to the one’s conditions. One should always ask for proven track records and written testimonials from this professional. If all the above steps are followed strictly than one can surely benefit from Obama loan modification system.
