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:
“The chief want, in every State that I have been into, was a high and earnest purpose in its inhabitants. This alone draws out “the great resources” of Nature, and at last taxes her beyond her resources; for man naturally dies out of her.”
—Henry David Thoreau (1817–1862)
“Man, her last work, who seemed so fair,
Such splendid purpose in his eyes,
Who rolled the psalm to wintry skies,
Who built him fanes of fruitless prayer,
Who trusted God was love indeed
And love Creation’s final law—
Though Nature, red in tooth and claw
With ravine, shrieked against his creed—”
—Alfred Tennyson (1809–1892)
“I have always felt that the real purpose of government is to enhance the lives of people and that a leader can best do that by restraining government in most cases instead of enlarging it at every opportunity.”
—Gerald R. Ford (b. 1913)