Making Home Affordable Plan

The Obama Administration has introduced a comprehensive Financial Stability Plan to address key problems and get our economy back on track. A critical piece of that effort is Making Home Affordable plan. The Home Affordable Refinance Program gives up to four to five million homeowners with loans owned or guaranteed by Fannie Mae or Freddie Mac an opportunity to refinance into more affordable monthly payments.

Making Home Affordable Site Features

The consumer website,, provides homeowners with detailed information about these programs along with self-assessment tools and calculators to empower borrowers with the resources they need to determine whether they might be eligible for a modification or a refinance under the Administration's program.

Through this website, borrowers can also connect with free counseling resources to help with outstanding questions; locate homeowner events in their communities; find a handy checklist of key documents and materials to have ready when making that important call to their servicer as well as FAQs from borrowers in similar circumstances; and much more.

Eligibility for Refinancing

Visit this site to find out if you are eligible
.  Updates were made the Making Home Affordable program on July 1, 2009, so check back frequently for updates. 
You may be eligible if:


  • You are the owner occupant of a one to four unit home, The loan on your property is owned or securitized by Fannie Mae or Freddie Mac  (Don't know?  Contact Fannie Mae at 1-800-7FANNIE or online. Contact Freddie Mac at 1-800-FREDDIE or online.)
  • At the time you apply, you are current on your mortgage payments (current means that you haven’t been more than 30-days late on your mortgage payment in the last 12 months or, if you have had the loan for less than 12 months, you have never missed a payment),
  • You believe that the amount you owe on your first mortgage is about the same or slightly less than the current value of your house,
  • You have income sufficient to support the new mortgage payments, and
  • The refinance improves the long-term affordability or stability of your loan.

Eligibility for Modification

To apply for a Home Affordable Modification, you must:

  • Be an owner-occupant in a one to four unit property,
  • Have an unpaid principal balance that is equal to or less than $729,750 for one unit properties (there is a higher limit for two to four unit properties - consult your servicer),
  • Have a loan that was originated on or before January 1, 2009,
  • Have a mortgage payment (including taxes, insurance, and home owners association dues) that is more than 31% of your gross (pre-tax) monthly income, and
  • Have a mortgage payment that is not affordable, perhaps because of a significant change in income or expenses.

If you answered YES to all of these questions, you may be eligible to apply for a Home Affordable Modification.  Only your servicer will be able to tell you if you qualify. For more information, click here.

What is HOPE for Homeowners?

This program is for borrowers at risk of default and foreclosure.  The program provides new, 30-year, fixed rate mortgages that are insured by the Federal Housing Administration (FHA). It may help you refinance your mortgage into a more affordable payment. This is a voluntary program; both lender(s) and borrower(s) must agree to participate.

You should contact your lender to determine eligibility, but you may be eligible if, among other factors:

  • The home is your primary residence, and you have no ownership interest in any other residential property, such as second homes.
  • Your existing mortgage was originated on or before January 1, 2008 and you have made at least six payments.
  • You are not able to pay your existing mortgage without help.
  • As of March 2008, your total monthly mortgage payments due were more than 31 percent of your gross monthly income.
  • You certify that you have not been convicted of fraud in the past ten years, intentionally defaulted on debts and did not knowingly or willingly provide material false information to obtain existing mortgage(s).
For more information, click here

What is the difference between Hope For Homeowners and Making Home Affordable?

Hope for Homeowners (HFH) is a program specifically for “underwater” borrowers –meaning they owe more on their mortgage than their house is worth.  HFH has been recently incorporated into President Obama’s Making Home Affordable program by requiring principal write-downs to help homeowners increase the equity they own in their homes.  

For more information, click here.

What is HOPE NOW?

HOPE NOW is an alliance between HUD certified non-profit counselors, mortgage companies, investors and other mortgage market participants to maximize outreach efforts to at-risk homeowners and help them stay in their homes.