Purpose
The Home Affordable Modification Program (HAMP) was established on February 18, 2009 to help up from 7 to 8 million struggling homeowners at risk of foreclosure by working with their lenders to lower monthly mortgage payments. The Program is part of the Making Home Affordable Program which was created by the Financial Stability Act of 2009. The program was built as collaboration with banks, services, credit unions, the FHA, the VA, the USDA and the Federal Housing Finance Agency, to create standard loan modification guidelines for lenders to take into consideration when evaluating a borrower for a potential loan modification. Over 110 major lenders have already signed onto the program. The Program is now looked upon as the industry standard practice for lenders to analyze potential modification applicants.
Early 2012 the Treasury redesigned the HAMP as Tier 1 for the original first-lien modification process and in June 1, 2012 Tier 2 became available. Tier 2 is for either owner-occupied properties or rental properties. For mortgages secured by rental properties, only those that are two or more payments delinquent are eligible.
Read more about this topic: Loan Modification In The United States, Home Affordable Modification Program
Famous quotes containing the word purpose:
“I don’t like to be idle; in fact, I often feel somewhat guilty unless there is some purpose to what I am doing. But spending a few hours—or a few days—in the woods, swamps or alongside a stream has never seemed to me a waste of time.... I derive special benefit from a period of solitude.”
—Jimmy Carter (James Earl Carter, Jr.)
“Possibly the Creator did not make the world chiefly for the purpose of providing studies for gifted novelists; but if he had done so, we can scarcely imagine that He could have offered anything much better in the way of material ...”
—Elizabeth Stuart Phelps (1844–1911)
“Productive collaborations between family and school, therefore, will demand that parents and teachers recognize the critical importance of each other’s participation in the life of the child. This mutuality of knowledge, understanding, and empathy comes not only with a recognition of the child as the central purpose for the collaboration but also with a recognition of the need to maintain roles and relationships with children that are comprehensive, dynamic, and differentiated.”
—Sara Lawrence Lightfoot (20th century)