The Obama Administration announced an extension of the Making Home Affordable Program through December 31, 2015. This extension includes the Home Affordable Modification Program (HAMP), which modifies home mortgages to prevent foreclosure. When combined with the recent extension of the Home Affordable Refinance Program (HARP) through the same date, this announcement means that the existing set of mortgage modification tools will continue to prevent foreclosures for many households.
The extension of the program recognizes that the foreclosure crisis is far from over. Although we are starting to see signs of home price increases in some housing markets, there are still millions of underwater loans, homeowners struggling to make too-high payments, and neighborhoods hurt by foreclosures. The Obama Administration’s announcement today directly acknowledges the ongoing need to help households and neighborhoods prevent further damage from foreclosures and rebuild from damage that has occurred.