In early 2009, Treasury launched the Making Home Affordable® Program (MHA) to help struggling homeowners avoid foreclosure. MHA is only one part of the Obama Administration’s broader efforts to strengthen the housing market.
Since its inception, MHA has helped homeowners avoid foreclosure by providing a variety of solutions to modify or refinance their mortgages, get temporary forbearance if they are unemployed, or transition out of homeownership via a short sale or deed-in-lieu of foreclosure.
The cornerstone of MHA is the Home Affordable Modification Program (HAMP), which provides eligible homeowners the opportunity to reduce their monthly mortgage payments to more affordable levels.
Since its launch, Treasury launched additional programs under MHA to help homeowners who are unemployed, “underwater” on their loan (those who owe more on their home than it is currently worth), or struggling with a second lien. It also includes options for homeowners who would like to transition to a more affordable living situation through a short sale or deed-in-lieu of foreclosure. In early 2012, the Obama Administration announced important enhancements to MHA that will expand the pool of eligible borrowers.
MHA includes several additional programs to help homeowners refinance or address specific types of mortgages, in conjunction with the Federal Housing Administration (FHA), the United States Department of Agriculture (USDA), and the Department of Veterans Affairs (VA).
Homeowners can find more information about the Obama Administration’s housing programs at www.MakingHomeAffordable.gov.