A new government Web site includes online tools that can help troubled borrowers determine whether they are eligible to participate in the "Making Home Affordable" loan modification and refinancing program.
The site, MakingHomeAffordable.gov, is intended to help communicate how the program works and who is eligible — elements "critical to the program’s success," Housing Secretary Shaun Donovan said in a press release.
The Making Home Affordable program includes $75 billion in incentives for loan servicers and borrowers intended to help up to 4 million homeowners negotiate loan modifications or short sales with their loan servicers. The refinance component of the program will rely on Fannie Mae and Freddie Mac to refinance up to 5 million loans they already own or guarantee (see story).
Fannie Mae and Freddie Mac have set up Web sites and toll-free hotlines to help borrowers determine whether their existing loan is owned or guaranteed by Fannie or Freddie.
The Fannie Mae form is at www.fanniemae.com/homeaffordable, and the company is accepting calls at (800) 732-6643. Freddie Mac’s Web site for troubled borrowers is www.freddiemac.com/avoidforeclosure and calls are accepted at (800) 373-3343.
Borrowers can also apply for help from their mortgage servicer by submitting details about their financial situation using an online application form at HopeNow.com, the Web site operated by an alliance of mortgage servicers and nonprofit counselors, or by calling the HOPE NOW hotline, (888) 995-4673.
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