Mortgage Industry has Completed 5.46 Million Total Mods Since 2007
WASHINGTON, D.C. – June 1, 2012 – (RealEstateRama) — Mortgage Industry has Completed 5.46 Million Total Mods Since 2007 (WASHINGTON, DC) – HOPE NOW, the oluntary, private sector alliance of mortgage servicers, investors, mortgage insurers and non-profit counselors, released its April 2012 loan modification data. An estimated 43,000 homeowners received permanent, affordable loan modifications via proprietary programs from mortgage servicers during the month.
The reported data for April does not include loan modifications completed under the Home Affordable Modification Program (HAMP). That data has not yet been reported by United States Department of Treasury for the month.
Since 2007, approximately 5.46 million permanent solutions have been offered to homeowners nationwide.
The April data showed slight declines in foreclosure sales as well for the month, compared to estimates from the previous month. In April, there were approximately 60,000 completed foreclosure sales, compared to 66,000 in the month of March.
Delinquencies of 60 days or more remained relatively flat for the month at 2.52 million. Delinquency data is extrapolated from data received by the Mortgage Bankers Association for the first quarter of 2012.
The full data set for April 2012 is available at www.hopenow.com.
Faith Schwartz, Executive Director, issued this statement:
“HOPE NOW’s members continue to be proactive in outreach to at-risk borrowers through face to face events, the Homeowner’s HOPE™ Hotline, managed by the Homeownership Preservation Foundation, and other outreach efforts.
HOPE NOW, along with its government and non-profit partners, have already hosted 132 days of borrower outreach events since 2008 in more than 60 markets nationwide. Events will continue throughout 2012, with a two-day event in Atlanta this weekend, on June 1st and 2nd, plus events already scheduled for
July in Reno and Phoenix.
Additionally, HOPE NOW sponsored two special events for military homeowners in April at Fort Gordon and Fort Jackson, and will be hosting at least four more on-base events in 2012. Assisting service members remains a high priority as these homeowners have a unique set of challenges.
The focus remains on streamlining complex and cumbersome processes, improving communication between all parties and enhancing the customer experience. There are significant tools and resources available to homeowners, and all stakeholders involved are committed to educating homeowners on all
available alternatives to foreclosure whenever possible.”
Here are some of the highlights of the April 2012 data:
• Proprietary loan modifications were approximately 43,000, down from 47,000 in March – a decline of 8%.
• Completed foreclosure sales were approximately 60,000, down from 66,000 in March – a decline of 10%.
• Foreclosure starts remained relatively flat at approximately 177,000, compared to 178,000 in March.
• Loan modifications with reduced principal and interest payments accounted for approximately 83% (36,000) of all proprietary modifications.
• Loan modifications with reduced principal and interest payments of 10% or greater accounted for approximately 76% (33,000) of all proprietary modifications.
• Fixed-rate modifications (initial fixed period of 5 years or more) accounted for 89% (38,000) of all proprietary modifications.
• 60+ days delinquencies were flat at approximately 2.52 million, compared to 2.54 million in March.
HOPE NOW is the industry-created alliance of mortgage servicers, investors, counselors, and other mortgage market participants, brought together by the Financial Services Roundtable, Housing Policy Council and Mortgage Bankers Association, that has developed and is implementing a coordinated plan to help as many homeowners as possible prevent foreclosure and stay in their homes. For more information go to www.HopeNow.com or call the free Homeowner’s HOPE™ Hotline at (888) 995-HOPE™