The Obama Administration’s Home Affordable Modification Program or HAMP also demands homeowners to provide an initial package of documentation and requires lenders to review the documentation before the first phase of the modification.

The change in the program will take effect on June 1, 2010 and is designed to speed up the process of getting mortgage modifications that homeowners can afford.  Although a mortgage modification will definitely stain a homeowner’s credit history, it is a better option than undergoing a foreclosure process.  A mortgage modification will happen when the lender agrees to change the terms of an existing home loan like interest rate, loan term extension or reduce the principal to help homeowners pay the mortgage.

Homeowners who apply for a HAMP mortgage will start with a trial modification of at least 3 months.  Here are some documents that are needed before getting a trial modification.

1. A completed Request for Modification and Affidavit or RMA form that will provide information about the property and the home owner’s financial situation.

2. IRS Form 4506T-EZ to help lenders check the homeowner’s tax return

3.  Proof of income.

The lender needs to acknowledge receipt of the documents and evaluate the application within 30 days.