More News On The HAMP Program

According to HousingWatch.com, banks may soon be required to screen and reject homeowners for the governments Home Affordable Modification Program (HAMP) before they go onward with a foreclosure. According to the outlined proposal ‘it prohibits referral to foreclosure until borrower is evaluated and found ineligible for HAMP or reasonable contact efforts have failed’. About 2.82 million U.S. homeowners lost properties last year and as many as 4.5 million filings are expected in 2010 according to RealtyTrac. So one in four homeowners in the U.S. owes more on their house than it’s worth. All My Sons of Jacksonville learned that this proposed plan of action will require borrowers who are two months delinquent on their mortgage to be contacted by HAMP. Each mortgage company will have to make at least four attempts by phone and two by certified mail over 3 or more days before going to foreclosure. There might also be a plan in the works to help homeowners who are unemployed. The Mortgage Brokers Associations wants the Treasury Department to provide special loans to companies that must advance payments to investors during a period of forbearance for the unemployed which will give unemployed people a chance to hold on to their homes while they look for work.