As of 2015, eligibility requirements to extend a home mortgage under the Home Affordable Modification Program due to hardship include a delinquency on a current mortgage and financial hardship, Making Home Affordable notes. The mortgage must have been created before Jan. 1, 2009, and the property cannot have been condemned. The homeowner must less than $729,750 on his primary residence or a one- to four-unit rental property. The loan limits are higher for properties that are two to four units.Continue Reading
The Home Affordable Modification Program is a program that was created under the Obama Administration to help stabilize the housing market, explains Making Home Affordable. The goal is to provide solutions for homeowners under financial distress and offer them other opportunities beside foreclosure. There are several modification programs available, including programs for VA, FHA and traditional mortgages. The modifications are geared toward lowering the homeowner's monthly mortgage payment.
Many mortgage lenders, such as Bank of America, Wells Fargo and JP Morgan Chase, participate in the programs, Making Home Affordable states. Other programs available include interest-reducing programs for second mortgages, mortgages with negative equity and traditional mortgages. Some programs allow homeowners to make the transition out of their home and avoid principal reduction programs and foreclosure.Learn more about Credit & Lending