Tag Archives: Making Home Affordable

Making Home Affordable Programs Extended Through 2015

This morning Treasury Secretary Jack Lew announced that the deadline to apply for federal Making Home Affordable (MHA)  programs designed to assist struggling homeowners will be extended another two years, to December 31, 2015.

MHA Program Extensions

The extension will apply to all of the MHA programs. Some of those include:

  • Home Affordable Modification Program (HAMP)
  • Second Lien Modification Program (2MP)
  • Home Affordable Refinance Program (HARP 2)
  • Principal Reduction Alternative (PRA)
  • Home Affordable Unemployment Program (UP)
  • Home Affordable Foreclosure Alternatives Program (HAFA)

(To learn about these programs, visit Nolo’s Government Foreclosure Prevention Programs topic area.)

The department was emphatic, however, that these extensions should not lull homeowners into waiting to apply for relief. The government urged eligible homeowners to apply for these programs right away.

Extension of Tax Relief for Forgiven Mortgage Debt Is Top Legislative Priority

Mark McArdle, Chief of Treasury’s Homeownership Preservation Office also made clear that a top legislative priority this year will be to extend the Mortgage Forgiveness Debt Relief Act to December 31, 2015, so that it matches the MFA program deadlines.

The Mortgage Forgiveness Debt Relief Act allows  homeowners who have had mortgage debt forgiven or canceled (perhaps through a mortgage modification or restructure) or who have suffered through a foreclosure to have income tax on that debt forgiven.  The Act currently currently sunsets (ends) on December 31, 2013. (To learn more, see Canceled Mortgage Debt: What Happens at Tax Time?)

Making Home Affordable Website Now Available in Spanish

Finding information on the federal government’s Making Home Affordable program, including the ever popular Home Affordable Modification Program (HAMP), that is both trustworthy and easy to understand can be difficult enough if you’re a native English speaker. Now imagine how difficult it must be for non-English speakers. Yet studies show that Latino families have been significantly affected by the foreclosure crisis in the United States. And non-English speakers have been and continue to be the most at risk of falling prey to foreclosure rescue scams. To address the needs of these homeowners, the Treasury Department and HUD have introduced a Spanish version of the Making Home Affordable website. You can find the site at www.makinghomeaffordable.gov/spanish.

Making Home Affordable Eligibility Requirements Expanded

Changes to the Making Home Affordable program that greatly expanded the pool of borrowers eligible for foreclosure relief went into affect on June 1, 2012. While the bulk of the changes were made to the Home Affordable Modification Program (HAMP), the Home Affordable Foreclosure Alternatives Program (HAFA), the Home Affordable Unemployment Program (UP), and the Second Lien Modification Program (2MP), two major changes affect the Making Home Affordable program as a whole. They include an extension of the application deadline to December 31, 2013 and an expansion of the definition of “owner occupied single family property” to include property owned by a borrower who was forced to relocate temporarily due to a change in employment, military deployment, or other reasons.

See Eligibility Requirements for Making Home Affordable Program Broadened to Help More Homeowners on the Nolo website for details on all of the changes.