What is the Home Affordable Modification Program?

The Home Affordable Modification Program, often referred to as HAMP, is an economic stimulus program put in place by the federal government to help homeowners in Washington who are facing financial difficulties and are in danger of foreclosure on their homes. Basically, HAMP allows homeowners to reduce their monthly mortgage payments to a more affordable level. It does this by modifying the terms of the loan, such as extending its term, reducing the interest rate, or by reducing the principal balance of the loan. This program is specifically targeted at those who may not qualify for a traditional loan modification, such as those with lower incomes or who are behind on their mortgage payments. In order to qualify for HAMP, the homeowner must demonstrate financial hardship and must be at risk of foreclosure. Additionally, the mortgage must have been taken out before January 1, 2009 and must be secured by the primary residence. HAMP is one of several programs available to homeowners in Washington who are struggling to make their mortgage payments. These programs are designed to provide assistance to homeowners who have found themselves in a difficult financial situation. Through HAMP and other programs, homeowners in Washington can potentially avoid foreclosure and regain their financial stability.

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What is the Home Affordable Modification Program?

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