Loss Mitigation
Home Retention Options
MGIC offers a variety of loss mitigation options, similar to the MICA RSP program. As with RSP, MGIC’s goal is to help streamline servicer workflow while helping borrowers remain in their homes. MGIC offers both Home Retention and Nonretention options. MGIC offers delegated guidelines for many of these programs to streamline your loss mitigation process. See the Default Servicing Guide for more information.
MGIC's Home Retention Options include forbearance, repayment plans, and loan modifications, including HAMP loan modifications. If the loan is ineligible for HAMP, then the servicer should offer either a traditional/nontraditional modification or an agency special loan modification program.
If you find that the loan does not qualify for a traditional modification program, we will work with you to explore alternative home retention options. If a home retention option is not feasible, MGIC offers delegated authority to proceed with nonretention options such as short sale or deed in lieu. See the Default Servicing Guide for more information.
In some instances, the option of a loan modification along with an Advance Claim Payment (ACP) may be offered. This option is only offered on a case-by-case basis and must resolve the delinquency and enable the borrower to make affordable monthly payments on the loan.
A loan modification with an ACP may be used to:
- offset a negative Net Present Value (NPV) result (like Second Look) OR
- assist the borrower to re-perform on the loan by reducing monthly payments for a period of time or by bringing the loan current.
Each loan modification with an ACP must be submitted to MGIC for prior approval.
With these Home Retention Options, MGIC is dedicated to working in partnership with servicers to ensure every available option is offered to keep the borrowers in their homes.
Support
Contact MGIC Customer Service, customer_service@mgic.com or 1.800.424.6442.
Return to Home Retention Options page.
