Home Ownership Center - Making Home Affordable

Making Home Affordable - Plan Details

The federal government has initiated a comprehensive plan to help homeowners avoid foreclosure by providing affordable and sustainable mortgage loans. This program is known as The Making Home Affordable Program.

The Making Home Affordable Program includes a modification plan targeted at borrowers who are at risk of foreclosure because their incomes are not sufficient to make their mortgage payments.

It also includes refinance opportunities for borrowers who are current on their mortgage payments but have been unable to refinance because their homes have decreased in value.

Making Home Affordable Program will offer assistance to as many as 7 to 9 million homeowners, making their mortgages more affordable and helping to prevent the destructive impact of foreclosure on families, communities and the national economy.

Lenders and mortgage servicers are working hard to train staff and develop systems to implement this program but it will take time before servicers are able to assist every borrower.

For program information and overview of qualifications, visit: www.makinghomeaffordable.gov

Have a Question?

Our counselors will answer your questions within 24 to 48 hours.

Question

First Name:

Last Name:

* Email:

Phone:

* Zipcode:

* Denotes Required Field

What should at-risk homeowners do now?

Don't wait! Homeowners should begin working with a non-profit foreclosure counselor now to see if they might qualify for either parts of the program under the plan.

For a comprehensive online video of the program, please click here
(External Link: The MN Home Ownership Center is not responsible for information contained on this site).

HERE IS AN OVERVIEW OF THE TWO PROGRAMS:

Home Affordable Refinance:

Provides affordable, low-cost refinancing for qualified homeowners who are “underwater” on their loans, meaning they owe more than their home is worth. This part of the plan:

	Provides a lower interest rate refinance option to qualified borrowers who are current on their mortgage, but do not have access to existing refinance options due to a high loan to value and/or falling home values.
	Is only available to homeowners whose first mortgage is owned or securitized by Fannie Mae or Freddie Mac.

Home Affordable Modification:

	Reduces the amount homeowners owe per month to no more than 31% of income.
	Available to homeowners who have sufficient income and commit to making payments to stay in their home. It will not aid investors.
	Available to homeowners who are behind or at imminent risk of default.
	Includes incentives for the lender and borrower to encourage modifications and on-time payments.

The Center has also produced a fact sheet with additional information about the Making Home Affordable program. Click here to view the fact sheet.