Print 
PDFFrom Chicago Tribune:
The Obama administration on Friday announced it would significantly broaden the pool of consumers eligible for mortgage modifications by opening its program to owners of rental properties and homeowners burdened by medical and credit card bills and second mortgages.
Under an expansion of the Home Affordable Modification Program, investors can seek mortgage loan modifications for rental properties, regardless of whether the home is occupied by a tenant or it is vacant but the owner plans to rent it. Previously, only owner-occupants were eligible for loan modifications under the government’s plan, but officials said they decided to take this step because foreclosed rental properties were having a particularly detrimental effect on low- and moderate-income renters.
“The whole purpose of HAMP is to try and prevent foreclosures,” said Treasury Assistant Secretary Tim Massad in a conference call with reporters Friday afternoon. “We’re expanding it to investor-owned properties for the same reason. If your neighbor is foreclosed on, whether they’re an owner or a tenant, that affects you and all your neighbors. We’re allowing them to get modifications. They still have to prove a hardship and go through a protocol that proves this is a good use of taxpayer money.”
(13)