Loss Mitigation: US Treasury/GSE Programs
US Treasury Programs
HAMP
HAMP is part of the US Treasury’s Home Affordability & Stability Plan and is designed to help at-risk homeowners by providing a framework for consistent handling of modifications.
Servicers have delegated authority from MGIC to modify loans that meet HAMP criteria:
See the US Treasury’s HAMP website for more information.
US Treasury Home Affordable Foreclosure Alternatives Program (HAFA)
The US Treasury’s HAFA program provides additional options to avoid foreclosure and offers incentives to borrowers, servicers and investors who use a short sale or deed-in-lieu to avoid foreclosures.
MGIC delegates authority under HAFA if the short sale complies with MGIC Delegated Guidelines for short sales. To better understand MGIC’s guidelines with regard to HAFA, please review this overview document.
Home Affordable Unemployment Program (HAUP)
The US Treasury's HAUP program provides assistance to borrowers who are unemployed. Servicers are now required to consider borrowers for this program, which grants a forbearance plan during which regular monthly mortgage payments are reduced or suspended for unemployed borrowers.
You have delegated authority to modify MGIC loans that meet HAUP criteria as set by the US Treasury as long as it complies with MGIC's guidelines for forbearance.
