State and Federal Mortgage Modification Programs
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State and Federal Mortgage Modification Programs

The following state and federal programs were created to encourage your lender to work with you to make your mortgage more affordable. There is no fee to get information about these programs.

State Foreclosure Prevention Programs

The New Jersey HomeSaver Program – The New Jersey HomeSaver Program offers eligible homeowners up to $50,000 in financial assistance to help bring their household monthly payment to an affordable level by using the US Treasury’s Hardest Hit Fund funds to facilitate a refinance, recast, or permanent modification of the first mortgage loan. The New Jersey Housing and Mortgage Finance Agency (NJHMFA) is the official administrator of the program for the State of New Jersey. For more information, please visit 

The New Jersey Judiciary Foreclosure Mediation Program (NJJFM) - The NJJFM program provides homeowners with access to court-trained mediators to resolve foreclosure actions by proposing work-out and payment arrangements between distressed borrowers and lenders. Visit for instructions on how to file for foreclosure mediation.

NJ Home Keeper ProgramThe New Jersey HomeKeeper Program – All program funds have been committed and the HomeKeeper Program is closed to new applicants and appeals. If you presently have a HomeKeeper loan and have servicing questions, please call the NJ Hardest Hit Fund toll free at 1-855-647-7700.

Federal Foreclosure Prevention Programs

Through a combination of program design, support and funding, the following federal initiatives make New Jersey’s state programs possible.

The National Foreclosure Mitigation Counseling Program (NFMC) seeks to address the nationwide foreclosure crisis by dramatically increasing the availability of housing counseling for families at risk of foreclosure. Neighborworks America in partnership with the State of New Jersey provide homeowners with FREE housing counseling services in an effort to prevent foreclosure. Housing counselors work with the homeowner and the lender, utilizing tools such as the Making Home Affordable programs as well as state programs in order to negotiate a more affordable mortgage payment. Thanks to the NFMC and Neighborworks America, homeowners can see a housing counselor at NO COST. Get a list of participating local counseling agencies on our Foreclosure Fast Facts PDF (English/Spanish

makinghome affrdable.govMaking Home Affordable (MHA) provides programs to cover a variety of help in the form of modifications, refinance, principal reduction, forbearance, term extension and repayment plans.  All counselors participating in the NFMC program (described above) have been trained in MHA programs in order to determine if homeowners in counseling might qualify. For more information, visit 

The Hardest Hit Fund (HHF) was established in February 2010 to provide targeted aid to families in states hit hardest by the economic and housing market downturn. HHF provides funding for state Housing and Finance Agencies (HFAs) to develop foreclosure prevention solutions in areas that have been hard hit by home price declines and high unemployment. New Jersey is a HHF state, and the New Jersey Housing and Mortgage Finance Agency administers HHF funds for the State of New Jersey. Learn more about the HHF here:

Beware of Foreclosure Rescue Scams - HELP IS FREE!

  1. There is never a fee to get assistance or information about Making Home Affordable ( from your lender, a HUD-approved housing counselor or a NJ Housing Counseling Agency listed in the Foreclosure Fast Facts PDF (English/Spanish).
  2. Beware of any person or organization that asks you to pay a fee in exchange for housing counseling services or modification of a delinquent loan. Do not pay – walk away!
  3. Beware of anyone who says they can “save” your home if you sign or transfer over the deed to your house. Do not sign over the deed to your property to any organization or individual unless you are working directly with your mortgage company to forgive your debt.
  4. Never make your mortgage payments to anyone other than your mortgage company without their approval.
  5. If you feel you have been taken advantage of or mislead by a lender, contact Legal Services of New Jersey (LSNJ) at 1-888-576-5529 or online at LSNJ provides legal representation to low-income NJ homeowners. Homeowners of any income level may file a complaint with the NJ Dept. of Banking and Insurance (DOBI) at 1-800-446-7467, or online at Additionally, the Attorney General urges any member of the public who has been a victim of mortgage-related fraud to report it by calling the Division of Consumer Affairs’ toll-free hotline at 1-800-242-5846. You can also visit to file a complaint online.