What is the Home Affordable Unemployment Program (UP)?

A homeowner who is currently receiving unemployment benefits may be eligible for either reduced mortgage payments or a suspension of mortgage payments for up to three months while they are seeking new employment. 
 
*Eligibility guidelines:

• Homeowner must be eligible for unemployment benefits
  
• Must be owner occupant
• Must have obtained mortgage before January 1, 2009
• Must not have previously received a UP forbearance or Home Affordable Modification Program (HAMP) modification
  
• Must make request before missing three payments
  

 
Next steps:

1. Homeowners must contact their mortgage servicer to see if they are eligible.  There are over 100 participating HAMP servicers. 
   
2. Fannie Mae and Freddie Mac loans are not eligible for UP, but they do have other similar programs available.
   
3. Under UP, homeowners may be required to make a partial payment not to exceed 31% of their monthly gross income.
4. Homeowners may be reevaluated for HAMP at the end of the forbearance plan.
   
5. Effective dates – August 1, 2010 to December 31, 2012.
   

*Above are guidelines, subject to change at any time.

If you have any questions about this process, please contact us.