In 2009, the federal government unveiled the Making Home Affordable program to help homeowners stay in their houses and avoid foreclosure. One of the major components of the Making Home Affordable initiative was the Home Affordable Modification Program (HAMP), Tier 1 and Tier 2. The goal of HAMP was to induce lenders and servicers to modify homeowners' loans so that payments become more affordable. Unfortunately, the HAMP program ended on January 1, 2017.
While the HAMP program ended on January 1, 2017, other programs—like the Fannie Mae and Freddie Mac Flex Modification Program, as well as proprietary (in-house) modification programs—now exist to help struggling homeowners modify their loans.
If you want to learn about different ways to avoid a foreclosure, contact your mortgage company or a HUD-approved housing counselor as soon as possible. (Learn more about what HUD-approved housing counselors do.)
If you're facing a foreclosure and you need more information about how the process works, whether you have any defenses to the foreclosure, or your rights during the process, talk to a lawyer.