Real estate lawyers deal in property inclusive of both home and commercial real estate. The HAMP program will be discussed here, which is an acronym that stands for Home Affordable Modification Program (HAMP). This program is designed to help homeowners avoid foreclosure. A Suffolk County Real Estate Transaction Lawyer can meet both needs. Commercial real estate differs from selling or buying a home or residential real estate. Commercial real estate deals with business properties that are used strictly for business while residential real estate deals with homes and all those types of transactions. Real estate brokers are different from real estate agents in that a broker has a broker license they take tests to get. Brokers have a four-year college degree and an 8 level broker’s course.
How to Qualify for HAMP
A Suffolk County Real Estate Transaction Lawyer can help determine whether or not you qualify for HAMP. It applies for:
– Loans on or before January 1st, 2009.
– Loans with unpaid balance up to $729,750, with a first-lien
– Much higher limits for properties with 2-4 units
– The property must not be condemned
– Borrower’s debt must offer proof of financial hardship
– Income must be documented and an IRS form called IRS 4506-T must be signed
HAMP Trial Period
A Suffolk County Real Estate Transaction Lawyer is a useful resource when selling your home. HAMP was designed with the collapsing housing market of 2009 in mind. HAMP is a program that is used for mortgages based on income. To qualify for HAMP, an individual must have a proof of financial hardship. This program is meant to help families in need who have a mortgage crisis if they can barely afford to pay it. Payments are reduced by $530 a month per family.
HAMP is making changes to the mortgage industry in general. With the program in mind, there is a three-month trial plan in which the individual must make all payments. Somebody using HAMP can expect to earn $10,000 in principal reduction for making the whole mortgage payment. HAMP attempts to help individuals with mortgages to avoid foreclosure.
How to Avoid Foreclosure
Ignoring the problem doesn’t make it go away. The Department of Housing and Urban Development or HUD, is a counseling agency that can help individuals avoid foreclosure. People looking for help should open all the mail as well as answer all the phone calls. It is important to prioritize spending. With reductions in income, there is a reduction in a mortgage payment unlike the programs of the past. Loans come with terms of 30 or 40 years, which must be understood. HUD is different from HAMP in that HUD is about public housing while HAMP is about private housing or residential homes. HAMP does provide free financial counseling. HAMP evaluates borrowers with less than $25,000.
HAMP is a program that helps reduce extreme mortgages to something manageable for each family that qualifies. HAMP has helped 1.8 million families since it’s inception. The US Treasury committed $45.6 billion dollars to help homeowners avoid foreclosure. In the end, the goal of the HAMP program is to significantly reduce mortgage payments. Contact us to know more about HAMP program and your qualification for the same.