Alert June 11, 2013

Department of Treasury Extends Application Deadline for HAMP

The Department of the Treasury and HUD announced that the Making Home Affordable Program will be extended through December 31, 2015. Eligibility for the MHA Program was set to expire December 31, 2013. However, the determination to extend the MHA Program was made to align with the extended deadline for HARP (see April 16, 2013 Alert). According to Treasury Secretary Jacob J. Lew, although the housing market is gaining steam, "many homeowners are still struggling" and that extending the program for 2 years "will benefit many additional families while maintaining clear standards and accountability for an important part of the mortgage industry."

In conjunction with the extension of the MHA Program, FHFA announced that it was extending the Home Affordable Modification Program and the streamlined modification initiative, which it had previously issued guidance for in April (see April 2, 2013 Alert), through December 31, 2015.