The Home Affordable Unemployment Program (UP) reduces or suspends mortgage payments for 12 months or more for homeowners who are unemployed.
Anyone who has not already obtained a HAMP modification on his/her mortgage may be eligible. You must also be eligible for unemployment benefits, owe less than $729,750 toward your mortgage, and live in your home.
If you qualify, your mortgage payments may be reduced to 31% of your income or fully suspended. At the end of the forbearance, you may be evaluated for a mortgage modification through HAMP.
This program is not available for Fannie Mae or Freddie Mac mortgages, but they do have their own programs for unemployed homeowners. A housing consultant from a HUD-approved housing counseling agency can help you determine what programs you are eligible for.