HASP Excel Estimator Updated: Results Match White House Example.

I have updated the Homeowner Affordability and Stability Loan Modification Excel Estimator HERE.

(Current Feb.21 version is now 1.1; prior version of the Estimator has been removed).

Updates:

1. Changed baseline loan assumption to match the White House /Treasury example provided HERE on page 2. Good news is that my calculations match their example, AND I build from that to breakout/allocate costs to lender and government with user selected options for incentive payments and universe of loans.
   
2. Added the ability to vary inputs in line item 13. Users can now select different pull down values of $0-$5,000, in $1,000 increments, to see net cost impacts of various scenarios. (Lender income is automatically adjusted in line item 17 to match inputs in line item 13, subject to a cap of $3,000.
   
3. Deleted ability to input monthly income inputs, this line is calculated from annual income input.
4. Added clarifying comments in several line items.

(TIP: The estimator is in Excel 2007 file format. Some users report when they save Excel 2007 files they end up with a compressed .zip file extension. My suggestion is to download and save the file to your pc. Find the downloaded file, and if necessary, change the .zip extension to Excel 2007 extension (.xlsx), and THEN open the file with Excel).

HASP Loan Modification Estimator Updated.

I had previously posted a version of an estimator that attempts to illustrate buyer savings and lender and government costs for the new loan modification program announced this week as part of the Homeowner Affordability and Stability Plan (aka HASP).

This estimator will be a work in progress for the foreseeable future, as new information is received and my understanding improves. (I have removed the prior version).

In the new version

1. Cell entries are allowed in grey shaded cells only (Line items 1,3, and 29).
   
2. I have updated the cost sharing arrangements to reflect my current understandings.
3. Mortgage payment does not currently include taxes and insurance.
4. Default entries for the baseline assumption have been set to actual owner occupant subprime average interest rate, term remaining, and mortgage principal for Oregon subprime borrowers. Borrower income is not tied to any specific known amount. See assumptions worksheet for source/link to assumptions.
   
5. Line 5 A was added to indicate if current ratio is already 31% or below. If that is true, then ALL following calculations shown below for that column are INVALID, and borrower does NOT qualify for loan modification program.
   
6. Under certain assumptions, it is possible that the lender would have NO net cost, but net income. This can only occur in a limited set of circumstances, and always would be subject to the borrower making 3 years of on time payments. "Possible" is key word here; will clearly be the exception and NOT the rule.
   
7. An assumptions worksheet has been added to track current assumptions used for the estimator.
   
8. Line item 29 is an input and can be changed to estimate costs for specific number of borrowers.
   

You can download the estimator HERE.

(TIP: The estimator is in Excel 2007 file format. Some users report when they save Excel 2007 files they end up with a compressed .zip file extension. My suggestion is to download and save the file to your pc, find the downloaded file, and if necessary change the .zip extension to .xlsx and THEN open the file with Excel).

Please do drop me a note if you discover problems : housepdx@gmail.com