What is the Home Affordable Modification Program (HAMP)?
Foreclosure has been plaguing millions of homeowners over the past decade. As the country’s financial situation worsened, homeowners felt the effects when they were unable to prevent the foreclosure of their homes. In response to the country’s economic downturn, the government created the Home Affordable Modification Program (HAMP) in 2009 to help homeowners avoid foreclosure. HAMP allowed homeowners to modify their home loans and make mortgage payments more affordable. Many homeowners are not able to achieve loan modification by simply speaking and negotiating with their lenders, so HAMP provides a means for certain homeowners to modify their home loans, so long as they qualify by meeting particular requirements.
Qualifying for HAMP – What Are the Requirements?
To qualify for HAMP, you must meet the following requirements:
• Your mortgage was obtained prior to January 1, 2009;
• The balance on the home loan is no more than $729,750 for a primary residence or single unit rental property;
• The balance on the home loan is no more than $934,000 for a two-unit rental property;
• The balance on the home loan is no more than $1,129,250 for a three-unit rental property;
• The balance on the home loan is no more than $1,403,400 for a four-unit rental property;
• The property you own has not been condemned;
• You can prove that you are suffering financial hardship, and unable to either make any mortgage payments, or you are making payments that are behind or incomplete;
• You have sufficient income to be able to manage a modified payment arrangement on your home loan, and you must prove this with documentation of your income; and
• You have not been convicted of felony larceny, theft, fraud, forgery, money laundering or tax evasion in connection with a mortgage or real estate transaction within the last 10 years.
The above-listed requirements may seem strict, however, many homeowners are able to qualify. The key to qualifying for HAMP is ensuring that you have plenty of documentation. The more evidence that you have to prove economic hardship in addition to proof that you have sufficient income to continue making reasonable mortgage payments, the greater the likelihood that you will be approved, and able to modify your home loan.
Homeowners can certainly apply for HAMP on their own, without the help of an attorney, however, an attorney can help you handle the difficult and tedious part of the process. Further, having a Loan Modification Attorney help you through the process will help to ensure that no mistakes are made. Even the slightest mistake may result in a denial of your application. As such, if you are seriously considering HAMP as a way to avoid foreclosure, you should consider speaking with a Loan Modification Attorney right away.
Contact The Law Offices of Georgette Miller and Associates, P.C. Today
In a time of need, HAMP may be the way for you to avoid foreclosure. If you qualify, this government program can allow you to make affordable mortgage payments that enable you to live in your home for years to come. While HAMP may certainly be an option for you, if you do not qualify, you may need to consider other options for having your home loan modified, or other measures that will help you avoid foreclosure. The Bankruptcy and Loan Modification Attorneys of the Law Offices of Georgette Miller and Associates, P.C. help clients formulate plans that will help them avoid foreclosure. Each client’s situation is different, and our attorneys will help you find the resolution that is best for your particular financial needs. The Law Offices of Georgette Miller & Associates, P.C. provides legal services to a wide range of individuals and businesses, with offices located in Philadelphia, PA, New York, New Jersey, Washington, D.C., and Baltimore, M.D. To schedule an initial consultation with one of our Loan Modification Attorneys, contact the Law Offices of Georgette Miller & Associates, P.C. today by calling (866) 96-GMLAW.