HAMP Update
August 10th, 2010
The U.S. Department of the Treasury issued a HAMP Update titled, New Guidance on FHA2LP Program Announced.
New Guidance on FHA2LP Program Announced
Today, August 6, 2010, Supplemental Directive 10-08: Making Home Affordable Program -- Treasury/FHA Second Lien Program (FHA2LP) to Support FHA Refinance of Borrowers in Negative Equity Positions was issued.
Details
The Federal Housing Authority (FHA) released guidance today, August 6, 2010, for implementing the FHA Refinance of Borrowers in Negative Equity Positions (FHA Refinance) Program through Mortgagee Letter 2010-23 (ML 10-23). This initiative provides refinancing opportunities for borrowers who are current on their mortgage, but owe more on their home than its current value (negative equity). Note: FHA Refinance and FHA2LP are not yet effective; additional guidance will be communicated when they are operational.
Supplemental Directive 10-08 provides additional guidance on the FHA Refinance program for servicers of non-GSE mortgages and includes the following:
- second lien servicers -- details policy for adopting and implementing the corresponding Treasury/FHA Second Lien Program (FHA2LP).
- first lien servicers -- details guidance on how to terminate Home Affordable Modification Program (HAMP) loans in the Treasury's system of record once the loan has refinanced/closed under the FHA Refinance program.
Review SD 10-08 for additional specifics on eligibility requirements, full/partial extinguishment of second lien loans, incentive compensation, program reporting requirements and more.
Questions?
Contact the HAMP Solution Center at support@hmpadmin.com or 1-866-939-4469.
About Safeguard
Safeguard Properties is the largest privately held field services company in the country. Located in Cleveland, Ohio and founded in 1990 by Robert Klein, Safeguard has grown from a regional preservation company with a few employees and a handful of contractors performing services in the Midwest, to a national company with approximately 800 employees. Safeguard is supported by a nationwide network of subcontractors able to perform any requested superintendence, preservation, and maintenance functions, as well as numerous ancillary services in the U.S., the Virgin Islands, and Puerto Rico.