the recent Mortgage Servicing Settlement. Settlement. Servicing Mortgage recent the
minimum of three months. three of minimum
under Servicemembers Civil Relief Act (SCRA) and and (SCRA) Act Relief Civil Servicemembers under
increase, reduce or suspend payments for a a for payments suspend or reduce increase,
: VA loans may be eligible for additional relief relief additional for eligible be may loans VA : Note
Written agreement to agreement Written Forbearance: Formal
addition to conventional refinancing programs. programs. refinancing conventional to addition Sales and Deed-in-Lieu. and Sales
rurdev.usda.gov for more information. These are in in are These information. more for rurdev.usda.gov
, such as Pre-Foreclosure Pre-Foreclosure as such , Alternatives Foreclosure
three months. three
ii wwbnft.agvhmlas r www. or www.benefits.va.gov/homeloans Visit
definition above). definition
increase, reduce or suspend payments for less than than less for payments suspend or reduce increase,
streamline refinance programs similar to the FHA. FHA. the to similar programs refinance streamline
Special Loan Servicing, similar to FHA-HAMP (see (see FHA-HAMP to similar Servicing, Loan Special
Verbal agreement to to agreement Verbal Forbearance: Informal
Both VA and USDA offer offer USDA and VA Both Refinancing: Streamline
, such as VA-HAMP and USDA’s USDA’s and VA-HAMP as such , Modification Loan
FHA Loans FHA
Agriculture Loans Agriculture above).
and including Special Forbearance (see definition definition (see Forbearance Special including and
U.S. Department of of Department U.S.
subsequent payment). payment). subsequent , similar to FHA programs programs FHA to similar , Programs Forbearance
Veterans Affairs/ Veterans
VA/USDA Loans VA/USDA on one payment and will not make the the make not will and payment one on
facing imminent default, meaning behind behind meaning default, imminent facing
borrower is one who is either delinquent or or delinquent either is who one is borrower
requirements.
obligations under the mortgage. the under obligations
Borrowers
(NOTE: A distressed distressed A (NOTE: and that borrowers satisfy other eligibility eligibility other satisfy borrowers that and
the lender in exchange for a release from all all from release a for exchange in lender the
FHA short refinance loans require a loan application application loan a require loans refinance short FHA
Programs for Distressed Distressed for Programs homeowner voluntarily deeds the property to to property the deeds voluntarily homeowner
who can’t refinance because they are underwater. underwater. are they because refinance can’t who
resort, DIL is a disposition option in which a which in option disposition a is DIL resort,
Helps current homeowners homeowners current Helps Refinancing: Short FHA
As a last last a As (DIL): Foreclosure of Lieu in Deed •
www.nationalmortgagesettlement.com visit Or
sale is less than the amount they owe. owe. they amount the than less is sale
Wells Fargo: (800) 288-3212 288-3212 (800) Fargo: Wells •
to inquire about eligibility. about inquire to
value even if the amount they receive from the the from receive they amount the if even value
JPMorgan Chase: (866) 372-6901 372-6901 (866) Chase: JPMorgan •
2009. Borrowers may contact their lender directly directly lender their contact may Borrowers 2009.
their house for sale and sell it at fair market market fair at it sell and sale for house their
Citi: (866) 272-4749 272-4749 (866) Citi: •
must have been endorsed on or before May 31, 31, May before or on endorsed been have must
a short sale, where the homeowner can offer offer can homeowner the where sale, short a
Bank of America: (877) 488-7814 488-7814 (877) America: of Bank •
who wish to refinance. To qualify the mortgage mortgage the qualify To refinance. to wish who
An option, also known as as known also option, An Sale: Pre-foreclosure •
Ally/GMAC: (800) 766-4622 766-4622 (800) Ally/GMAC: •
annual premium to .55 percent for FHA borrowers borrowers FHA for percent .55 to premium annual
Foreclosure Alternatives: Foreclosure
directly to inquire about eligibility. eligibility. about inquire to directly Premium (UFMIP) to just .01 percent and reduced its its reduced and percent .01 just to (UFMIP) Premium
However, borrowers may contact the lenders lenders the contact may borrowers However, FHA lowered its Upfront Mortgage Insurance Insurance Mortgage Upfront its lowered FHA
30 percent of the unpaid principal balance (UPB). balance principal unpaid the of percent 30
will inform them if they are eligible for refinancing. refinancing. for eligible are they if them inform will
As of June 11, 2012, 2012, 11, June of As Refinancing: Streamline FHA
modification allowing for a reduction of as much as much as of reduction a for allowing modification
Letters from those lenders to affected homeowners homeowners affected to lenders those from Letters Administration (FHA) Loans (FHA) Administration
Combines partial claim with a loan a with claim partial Combines FHA-HAMP:
have an opportunity to refinance their mortgage. mortgage. their refinance to opportunity an have
Federal Housing Housing Federal
JP Morgan Chase and Ally (formerly GMAC) may may GMAC) (formerly Ally and Chase Morgan JP
be extended. be
serviced by Bank of America, Wells Fargo, Citibank, Citibank, Fargo, Wells America, of Bank by serviced
interest rate may be changed, or the loan term may may term loan the or changed, be may rate interest
are current are Homeowners whose mortgages are held by and and by held are mortgages whose Homeowners
payments may be added to the loan balance, the the balance, loan the to added be may payments
Refinancing: Settlement Servicing Mortgage for Borrowers who who Borrowers for in a payment the borrower can afford. The overdue overdue The afford. can borrower the payment a in
Other Loans Other
which will allow it to be reinstated and should result result should and reinstated be to it allow will which
Refinancing Programs Programs Refinancing
change in one or more of the terms of the loan loan the of terms the of more or one in change
A modification is a permanent permanent a is modification A Modification: Loan refinance programs. refinance
languages. 160 than but are unable to qualify for the GSEs’ streamline streamline GSEs’ the for qualify to unable are but
insurance (PITI). (PITI). insurance more in available and FREE is service This (4673). homeowners who are current on their mortgage, mortgage, their on current are who homeowners
up to 12 months of principal, interest, taxes and and taxes interest, principal, of months 12 to up 888-995-HOPE at counselor housing approved
– Home Affordable Refinance Program helps helps Program Refinance Affordable Home – HARP
repay a delinquency over time that can provide for for provide can that time over delinquency a repay HUD- a Contact services. counseling housing for
Loans
agreement between a lender and a borrower to to borrower a and lender a between agreement eligible are lender or situation their of regardless
Fannie Mae or Freddie Mac Mac Freddie or Mae Fannie
Written structured repayment repayment structured Written Forbearance: Special homeowners, All Services: Counseling Housing
Fannie Mae or Freddie Mac eligible for a modification or principal reduction on the second mortgage as well through 2MP Mortgage Assistance Guide Loans which works in tandem with HAMP to provide Forbearance Programs: includes Special comprehensive solutions for homeowners 2012 Forbearance (see above definition). with second mortgages to increase long-term HAMP: The Home Affordable Modification Program, affordability and sustainability. administered by U.S. Treasury, is for borrowers • HAFA: Pre-foreclosure Sales and DILs. who are not unemployed, but still struggling to make mortgage payments. HAMP provides Loan Mortgage Settlement Principal Reduction/ Modifications and can lower the monthly mortgage Forbearance & Foreclosure Alternatives: Distressed payment to 31 percent of verified gross (pre-tax) homeowners whose mortgages are held and/or income. serviced by Bank of America, Wells Fargo, Citibank, Proprietary Loan Modifications:Loan Modifications JP Morgan Chase and Ally (formerly GMAC) may have provided by Fannie or Freddie lenders outside of an opportunity to receive Loan Modifications with the HAMP program. Principal Reduction, or benefit from Forbearance HAFA: Home Affordable Foreclosure Alternative, Programs and Foreclosure Alternatives. Servicers also administered by Treasury, offers Pre-foreclosure should contact eligible borrowers; however, Sales and Deeds-in-Lieu (see previous definitions) borrowers may also contact Servicers directly at Additional Foreclosure Alternatives: Can include numbers provided above to inquire about eligibility, such options as Deed-for-Lieu, which is used in or visit www.nationalmortgagesettlement.com conjunction with DIL so that borrower may stay in the home as a renter/tenant. State Programs Hardest Hit Fund: AL, AZ, CA, FL, GA, IL, IN, KY, MI, Other Loans MS, NV, NJ, NC, OH, OR, RI, SC, TN, and Washington HAMP: See previous definition. For Other Loans, D.C. were hit hard by the housing crisis. Borrowers there are several additional options within HAMP in these jurisdictions are eligible for different types described below. of mortgage assistance depending on their situation • Principal Reduction Alternative (PRA): and state of residence, such as: Designed to help homeowners whose home is • Mortgage payment assistance for unemployed currently worth significantly less than they owe or underemployed homeowners. on it. Homeowners may be eligible for PRA if • Principal reduction to help homeowners get their mortgage is not owned or guaranteed by into more affordable mortgages. Fannie Mae or Freddie Mac; they owe more • Funding to reduce or eliminate homeowners’ than the home is worth; they occupy the second lien loans. house as primary residence; they obtained • Help for homeowners who are transitioning out their mortgage on or before January 1, 2009; of their homes and into more affordable places mortgage payments are more than 31 percent of residence. of gross (pre-tax) monthly income; and they owe up to $729,750 on the 1st mortgage. • Second Lien Modification Program (2MP): If the first mortgage was permanently modified under HAMP and there is a second mortgage U.S. Department of Housing on the same property, the borrower may be and Urban Development
the recent Mortgage Servicing Settlement. Settlement. Servicing Mortgage recent the
minimum of three months. three of minimum
under Servicemembers Civil Relief Act (SCRA) and and (SCRA) Act Relief Civil Servicemembers under
increase, reduce or suspend payments for a a for payments suspend or reduce increase,
: VA loans may be eligible for additional relief relief additional for eligible be may loans VA : Note
Written agreement to agreement Written Forbearance: Formal
addition to conventional refinancing programs. programs. refinancing conventional to addition Sales and Deed-in-Lieu. and Sales
rurdev.usda.gov for more information. These are in in are These information. more for rurdev.usda.gov
, such as Pre-Foreclosure Pre-Foreclosure as such , Alternatives Foreclosure
three months. three
ii wwbnft.agvhmlas r www. or www.benefits.va.gov/homeloans Visit
definition above). definition
increase, reduce or suspend payments for less than than less for payments suspend or reduce increase,
streamline refinance programs similar to the FHA. FHA. the to similar programs refinance streamline
Special Loan Servicing, similar to FHA-HAMP (see (see FHA-HAMP to similar Servicing, Loan Special
Verbal agreement to to agreement Verbal Forbearance: Informal
Both VA and USDA offer offer USDA and VA Both Refinancing: Streamline
, such as VA-HAMP and USDA’s USDA’s and VA-HAMP as such , Modification Loan
FHA Loans FHA
Agriculture Loans Agriculture above).
and including Special Forbearance (see definition definition (see Forbearance Special including and
U.S. Department of of Department U.S.
subsequent payment). payment). subsequent , similar to FHA programs programs FHA to similar , Programs Forbearance
Veterans Affairs/ Veterans
VA/USDA Loans VA/USDA on one payment and will not make the the make not will and payment one on
facing imminent default, meaning behind behind meaning default, imminent facing
borrower is one who is either delinquent or or delinquent either is who one is borrower
requirements.
obligations under the mortgage. the under obligations
Borrowers
(NOTE: A distressed distressed A (NOTE: and that borrowers satisfy other eligibility eligibility other satisfy borrowers that and
the lender in exchange for a release from all all from release a for exchange in lender the
FHA short refinance loans require a loan application application loan a require loans refinance short FHA
Programs for Distressed Distressed for Programs homeowner voluntarily deeds the property to to property the deeds voluntarily homeowner
who can’t refinance because they are underwater. underwater. are they because refinance can’t who
resort, DIL is a disposition option in which a which in option disposition a is DIL resort,
Helps current homeowners homeowners current Helps Refinancing: Short FHA
As a last last a As (DIL): Foreclosure of Lieu in Deed •
www.nationalmortgagesettlement.com visit Or
sale is less than the amount they owe. owe. they amount the than less is sale
Wells Fargo: (800) 288-3212 288-3212 (800) Fargo: Wells •
to inquire about eligibility. about inquire to
value even if the amount they receive from the the from receive they amount the if even value
JPMorgan Chase: (866) 372-6901 372-6901 (866) Chase: JPMorgan •
2009. Borrowers may contact their lender directly directly lender their contact may Borrowers 2009.
their house for sale and sell it at fair market market fair at it sell and sale for house their
Citi: (866) 272-4749 272-4749 (866) Citi: •
must have been endorsed on or before May 31, 31, May before or on endorsed been have must
a short sale, where the homeowner can offer offer can homeowner the where sale, short a
Bank of America: (877) 488-7814 488-7814 (877) America: of Bank •
who wish to refinance. To qualify the mortgage mortgage the qualify To refinance. to wish who
An option, also known as as known also option, An Sale: Pre-foreclosure •
Ally/GMAC: (800) 766-4622 766-4622 (800) Ally/GMAC: •
annual premium to .55 percent for FHA borrowers borrowers FHA for percent .55 to premium annual
Foreclosure Alternatives: Foreclosure
directly to inquire about eligibility. eligibility. about inquire to directly Premium (UFMIP) to just .01 percent and reduced its its reduced and percent .01 just to (UFMIP) Premium
However, borrowers may contact the lenders lenders the contact may borrowers However, FHA lowered its Upfront Mortgage Insurance Insurance Mortgage Upfront its lowered FHA
30 percent of the unpaid principal balance (UPB). balance principal unpaid the of percent 30
will inform them if they are eligible for refinancing. refinancing. for eligible are they if them inform will
As of June 11, 2012, 2012, 11, June of As Refinancing: Streamline FHA
modification allowing for a reduction of as much as much as of reduction a for allowing modification
Letters from those lenders to affected homeowners homeowners affected to lenders those from Letters Administration (FHA) Loans (FHA) Administration
Combines partial claim with a loan a with claim partial Combines FHA-HAMP:
have an opportunity to refinance their mortgage. mortgage. their refinance to opportunity an have
Federal Housing Housing Federal
JP Morgan Chase and Ally (formerly GMAC) may may GMAC) (formerly Ally and Chase Morgan JP
be extended. be
serviced by Bank of America, Wells Fargo, Citibank, Citibank, Fargo, Wells America, of Bank by serviced
interest rate may be changed, or the loan term may may term loan the or changed, be may rate interest
are current are Homeowners whose mortgages are held by and and by held are mortgages whose Homeowners
payments may be added to the loan balance, the the balance, loan the to added be may payments
Refinancing: Settlement Servicing Mortgage for Borrowers who who Borrowers for in a payment the borrower can afford. The overdue overdue The afford. can borrower the payment a in
Other Loans Other
which will allow it to be reinstated and should result result should and reinstated be to it allow will which
Refinancing Programs Programs Refinancing
change in one or more of the terms of the loan loan the of terms the of more or one in change
A modification is a permanent permanent a is modification A Modification: Loan refinance programs. refinance
languages. 160 than but are unable to qualify for the GSEs’ streamline streamline GSEs’ the for qualify to unable are but
insurance (PITI). (PITI). insurance more in available and FREE is service This (4673). homeowners who are current on their mortgage, mortgage, their on current are who homeowners
up to 12 months of principal, interest, taxes and and taxes interest, principal, of months 12 to up 888-995-HOPE at counselor housing approved
– Home Affordable Refinance Program helps helps Program Refinance Affordable Home – HARP
repay a delinquency over time that can provide for for provide can that time over delinquency a repay HUD- a Contact services. counseling housing for
Loans
agreement between a lender and a borrower to to borrower a and lender a between agreement eligible are lender or situation their of regardless
Fannie Mae or Freddie Mac Mac Freddie or Mae Fannie
Written structured repayment repayment structured Written Forbearance: Special homeowners, All Services: Counseling Housing
Fannie Mae or Freddie Mac eligible for a modification or principal reduction on the second mortgage as well through 2MP Mortgage Assistance Guide Loans which works in tandem with HAMP to provide Forbearance Programs: includes Special comprehensive solutions for homeowners 2012 Forbearance (see above definition). with second mortgages to increase long-term HAMP: The Home Affordable Modification Program, affordability and sustainability. administered by U.S. Treasury, is for borrowers • HAFA: Pre-foreclosure Sales and DILs. who are not unemployed, but still struggling to make mortgage payments. HAMP provides Loan Mortgage Settlement Principal Reduction/ Modifications and can lower the monthly mortgage Forbearance & Foreclosure Alternatives: Distressed payment to 31 percent of verified gross (pre-tax) homeowners whose mortgages are held and/or income. serviced by Bank of America, Wells Fargo, Citibank, Proprietary Loan Modifications:Loan Modifications JP Morgan Chase and Ally (formerly GMAC) may have provided by Fannie or Freddie lenders outside of an opportunity to receive Loan Modifications with the HAMP program. Principal Reduction, or benefit from Forbearance HAFA: Home Affordable Foreclosure Alternative, Programs and Foreclosure Alternatives. Servicers also administered by Treasury, offers Pre-foreclosure should contact eligible borrowers; however, Sales and Deeds-in-Lieu (see previous definitions) borrowers may also contact Servicers directly at Additional Foreclosure Alternatives: Can include numbers provided above to inquire about eligibility, such options as Deed-for-Lieu, which is used in or visit www.nationalmortgagesettlement.com conjunction with DIL so that borrower may stay in the home as a renter/tenant. State Programs Hardest Hit Fund: AL, AZ, CA, FL, GA, IL, IN, KY, MI, Other Loans MS, NV, NJ, NC, OH, OR, RI, SC, TN, and Washington HAMP: See previous definition. For Other Loans, D.C. were hit hard by the housing crisis. Borrowers there are several additional options within HAMP in these jurisdictions are eligible for different types described below. of mortgage assistance depending on their situation • Principal Reduction Alternative (PRA): and state of residence, such as: Designed to help homeowners whose home is • Mortgage payment assistance for unemployed currently worth significantly less than they owe or underemployed homeowners. on it. Homeowners may be eligible for PRA if • Principal reduction to help homeowners get their mortgage is not owned or guaranteed by into more affordable mortgages. Fannie Mae or Freddie Mac; they owe more • Funding to reduce or eliminate homeowners’ than the home is worth; they occupy the second lien loans. house as primary residence; they obtained • Help for homeowners who are transitioning out their mortgage on or before January 1, 2009; of their homes and into more affordable places mortgage payments are more than 31 percent of residence. of gross (pre-tax) monthly income; and they owe up to $729,750 on the 1st mortgage. • Second Lien Modification Program (2MP): If the first mortgage was permanently modified under HAMP and there is a second mortgage U.S. Department of Housing on the same property, the borrower may be and Urban Development IF I’M HAVING I’ve lost my job and I can’t meet I can’t afford my TROUBLE my mortgage payment. mortgage payment. BECAUSE...
I MIGHT BE Unemployment Assistance A Mortgage Modification ELIGIBLE FOR...
• Contact your servicer (to whom you make your monthly mortgage payment). QUICK TIPS HERE’S WHAT • Get in touch with a free HUD-certified housing counselor to learn all of your options. TO DO... • Find out from your servicer who owns your mortgage. • Questions? Need a counselor? Call 888-995-HOPE (4673) or visit http://www.hud.gov/findacounselor 1. Get help as soon as possible. The sooner you learn about your options, the more you have. 2. Use a housing counselor. Contact a housing counselor working for a HUD approved Ask about federal Ask about Ask about Ask your Under the housing counseling agency and make an unemployment unemployment a HAMP mortgage Mortgage mortgage assistance in modification. servicer if you’re Servicing appointment. assistance. some states. eligible for a Settlement, 3. Gather your financial documents. That • You must modification. way your mortgage company will have the (e.g. forbearance Some state occupy your You may be programs at housing finance house as Borrowers with eligible for information it needs to help you. FHA, VA, and agencies are using a primary loans owned modification 4. Watch out for scams. You should never be GSEs). Some funds from the residence. by Fannie Mae, that includes charged for speaking to a certified housing forbearance relief Hardest Hit Fund • Your mortgage Freddie Mac, reduction of your is available under to offer assistance must have been USDA, or insured principal if your counselor. the Mortgage to those who issued before by USDA, FHA, loan is serviced 5. Don’t give up. Call 888-995-HOPE (4673) if Servicing have lost their Jan. 1, 2009. or VA can take by a servicer Settlement to jobs or have • Your mortgage advantage party to it. you experience any problems. borrowers at seen their hours payment must of federal the servicers reduced. This be more than modification party to it. assistance will 31% of your programs similar help you make pre-tax income. to HAMP. your monthly • You must payments while demonstrate looking for a job. financial hardship. (See participating states on reverse)
U.S. Department of Housing MAKING HOME AFFORDABLE | http://www.mha.gov and Urban Development
IF I’M HAVING I am underwater and I want to refinance but I’ve TROUBLE need to move. been turned down before. BECAUSE...
A Pre-foreclosure Sale I MIGHT BE (A Short-Sale Program or A Refinancing Program ELIGIBLE FOR... Foreclosure Alternative)
• Contact your servicer (to whom you make your monthly mortgage payment). HERE’S WHAT • Get in touch with a free HUD-certified housing counselor to learn all of your options. TO DO... • Find out from your servicer who owns your mortgage. • Questions? Need a counselor? Call 888-995-HOPE (4673) or visit http://www.hud.gov/findacounselor.
Fannie Mae Fannie Mae FHA, VA, or I am I am not FHA, VA, or A private or Freddie or Freddie USDA insured experiencing experiencing USDA backs lender owns Mac owns my Mac owns my my mortgage. a hardship. a hardship. my mortgage. my mortgage. mortgage. mortgage.
Ask about a Ask about refinancing Ask about Ask about a Ask about a other short Ask about Ask about from your a HAFA or partial claim HAFA short sale options. a HARP streamlined servicer. Or a GSE short short sale. sale. (e.g., Deed- refinancing. refinancing. other options sale. in-Lieu). arising from the Mortgage Servicing Settlement.
U.S. Department of Housing MAKING HOME AFFORDABLE | http://www.mha.gov and Urban Development