The Obama Administration has implemented several programs in an effort to assist homeowners struggling to make their mortgage payments and are at risk of foreclosure. The U.S. Department of Treasury and the Department of Housing and Urban Development (HUD) are responsible for administering these programs. Our experienced St. Louis mortgage lenders at USA Mortgage have the inside information on these programs and how they work.




  • The Home Affordable Modification Program (HAMP) is an opportunity to lower your monthly payment to 31 percent of your verified monthly gross income (before taxes). The typical HAMP modification results in a 40 percent drop in one’s monthly mortgage payment.
  • Another option is the Principal Reduction Alternative (PRA), designed to assist owners whose homes are underwater. Thus, homeowners are able to encourage servicers and investors to reduce the amount owed on the home.


  • If your first mortgage was modified under HAMP and you have a second mortgage on the same property, you may be eligible for the Second Lien Modification Program (2MP). This program is also effective for those who have a home equity loan, home equity line of credit or other second lien that is preventing a homeowner from keeping up with their payments.


  • Last is the Home Affordable Refinance Program (HARP) for homeowners who are current on their mortgage and have been unable to obtain a traditional refinance because the value of their home has declined. This program helps with refinancing into a new and more affordable home.


Our St. Louis mortgage lenders at USA Mortgage work hard to make sure we help you step into a home that fits your lifestyle and your budget. We understand the risks of a struggling economy and, therefore, make it our duty to provide homeowners with risk management tools and alternate options that will help to avoid foreclosure. If you are feeling underwater or perhaps you are inching toward foreclosure, contact us today so we can discuss your options.