Hope Now Alliance,
Definition of Hope Now Alliance:
Hope Now Alliance is an initiative launched in 2007 to combat the overwhelming volume of foreclosures created by the subprime mortgage market meltdown. The Alliance is comprised of members from the U.S. government, the secondary mortgage market, lenders, mortgage backed securities (MBS) investors and homeownership counseling organizations. The group's efforts to reverse the foreclosure trend focused on contacting homeowners for loan modifications and workouts. Workouts can result in either a modified repayment plan, which simply brings the homeowner up to date on their current payments but doesn’t change the underlying terms of their mortgage, or a loan modification, in which the terms of the mortgage are modified in order to make the loan serviceable for the homeowner. .
Tactics have included a nationally-promoted website with foreclosure prevention information, a 24-hour toll-free telephone number and free phone counseling through the Homeownership Preservation Foundation.
An alliance of counselors, mortgage companies, investors, the U.S. government, and other mortgage industry participants, that was created in response to the subprime mortgage crisis. It provides distressed homeowners with assistance and counseling to avoid foreclosure. It does this by offering planning services (called loan workouts) to create a modified repayment plan or loan modification to ease the financial burden. The effectiveness of this group has been criticized for not doing enough to prevent foreclosures, especially when repayment plans did not actually modify the mortgage terms.
Meaning of Hope Now Alliance & Hope Now Alliance Definition