What is the Home Affordable Modification Program?

The Home Affordable Modification Program, or HAMP, is a program established by the federal government in 2009 to help distressed homeowners in Nebraska. HAMP provides eligible borrowers with affordable, sustainable mortgages. It allows distressed homeowners to modify their existing mortgages in order to reduce their monthly payments and avoid foreclosure. To participate in HAMP, borrowers must meet certain eligibility requirements. These requirements include having a first mortgage entered into before January 1, 2009, having a loan-to-value ratio above 80%, and having a monthly mortgage payment that is greater than 31% of their gross monthly income. When HAMP borrowers receive assistance, their mortgages are temporarily modified for a period of 5 years as long as they make their monthly payments. During this period, monthly mortgage payments are capped at 31% of the borrower’s gross monthly income. The mortgage servicer then works with the borrower to make their mortgage payments more affordable by reducing the interest rate, extending the loan term, and other modifications. The HAMP program is a beneficial program for homeowners in Nebraska who are struggling to make their monthly payments. It allows them to stay in their homes and avoid foreclosure.

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What is the Home Affordable Modification Program?

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