The Making Home Affordable Program is part of the Obama Administration's plan to stimulate the housing market and the economy. This program offers two potential solutions for borrowers: refinancing mortgage loans through the Home Affordable Refinance Program (HARP) and modifying mortgage loans through the Home Affordable Modification Program (HAMP).

Home Affordable Refinance Program (HARP) Requirements:

Homeowners who own a one- to four-unit home, have not been 30 days late making a mortgage payment in the past 12 months and whose loan is owned or guaranteed by either Freddie Mac or Fannie Mae may qualify for this program. In addition, to be eligible for the HARP program, the first mortgage (including any refinancing costs) cannot exceed 125 percent of the current market value of the home.

Home Affordable Modification Program (HAMP) Requirements:

This program is designed to help homeowners who are struggling to make their payments because of employment cutbacks, medical bills or other change in income. To qualify for this program, homeowners must own a one- to four-unit home as their primary residence and have an unpaid principal balance that is equal to or less than:

1.              Unit: $729,750

2.              Units: $934,200

3.              Units: $1,129,250

4.              Units: $1,403,400

The mortgage must have originated on or before January 1, 2009 and the payment must be at least 31 percent of the homeowners' gross monthly income. Homeowners also need to be able to present documentation of financial hardship in order to qualify for modification.

For more information or to apply for these programs, visit www.makinghome-affordable.gov or call the Homeowner's HOPE™ Hotline at 1-888-995-HOPE.