The Obama administration Wednesday launched a $75 billion mortgage modification program aimed at preventing home foreclosures for single-unit home loans up to $729,750.
Unveiling more details of the program, the U.S. Treasury said borrowers would be required to demonstrate financial hardship to their loan servicers, such as a job loss or an imminent payment increase that cannot be met.
Loans considered for modification to reduce monthly payments must have been originated before Jan. 1, 2009 on owner-occupied homes, the Treasury said.