The Home Affordable Refinance Program is a comprehensive Financial Stability Plan to stabilize the housing market. A summary of eligibility under this program is as follows:
" First-lien mortgages owned, guaranteed, or securitized by Freddie Mac that are single-family 1- to 4- unit primary residences, including condos, cooperatives, Single-Family Seller/Servicer Guide (Guide) eligible manufactured homes, and our negotiated conforming jumbo mortgages.
" FHA, VA, and RHS guaranteed mortgages are eligible, subject to the relevant agency guidelines.
" Mortgages for properties that are abandoned, vacant, or condemned are not eligible.
" Mortgages may be previously modified, but can only be modified once under HAMP.
Borrowers may be eligible for this program if they meet the following requirements:
" Borrowers who are 31 days or more delinquent and borrowers who are either current or less than 31 days delinquent and in imminent default.
" A borrower may be considered in imminent default if the borrower is current or less than 31 days delinquent on their mortgage payments, and have a hardship that is stated in the Hardship Affidavit document. In addition, the borrower must have a Debt Coverage Ratio that is less than 1.20 and Cash Reserves that are less than three times their current monthly PITIA payment.
" Borrowers who may be in foreclosure, in pending litigation involving the mortgage, or who are in active bankruptcy.
" Borrowers currently performing under another workout arrangement will be considered for a Home Affordable Modification if they request it.
" Borrowers must currently have a monthly housing expense-to-income ratio greater than 31 percent of their verified gross monthly income.
The Tennessee Home Affordable Modification Program (Tennessee CAMP) Hardship Affidavit is a crucial document used to provide detailed information about the financial difficulties faced by homeowners seeking assistance through this program. This affidavit outlines the homeowner's current financial situation, explaining the hardships they are experiencing and how they prevent the homeowner from making their mortgage payments. Through the Tennessee CAMP, homeowners in the state can apply for mortgage modification to make their monthly mortgage payments more affordable. The program offers various options to struggling homeowners, such as interest rate reductions, extended loan terms, or even principle reductions. However, to be eligible, homeowners must demonstrate a genuine financial hardship, which is where the Tennessee CAMP Hardship Affidavit comes into play. The Tennessee CAMP Hardship Affidavit asks for specific information regarding the homeowner's financial circumstances, including their income, expenses, and debts. Homeowners are required to disclose their current household income, such as wages, self-employment earnings, rental income, or any other regular source of funds. Additionally, they need to provide details on their monthly expenses, such as utility bills, insurance, taxes, and other debts or financial obligations. The affidavit requires homeowners to provide an in-depth explanation of why they are facing financial hardship. Common hardships include job loss, reduced income, significant medical expenses, divorce or separation, death of a family member, or other uncontrollable events that have impacted the homeowner's financial stability. This section is crucial as it helps lenders or loan services assess the homeowner's eligibility and the appropriate modification options under Tennessee CAMP. It is worth noting that the Tennessee CAMP Hardship Affidavit may have different variations or specific requirements depending on the specific loan modification program being applied for. For example, if a homeowner is applying for the Principal Reduction Alternative (PRA) under Tennessee CAMP, there may be additional sections to address the principle reduction request and its eligibility criteria. In conclusion, the Tennessee CAMP Hardship Affidavit is an essential document used by struggling homeowners seeking assistance through the Tennessee Home Affordable Modification Program. It enables homeowners to provide an in-depth explanation of their financial hardships, including income, expenses, and the reasons behind their inability to make mortgage payments. Different variations of the affidavit may exist, depending on the specific loan modification program being pursued.
