'Hope Now' Nears 7 Million Modifications

HOPE Now, founded in 2007 as an earlyrnresponse to the growing threat of foreclosures, continues to negotiate loanrnmodifications in double-digit numbers for distressed homeowners.  The voluntary, private sector alliance madernup of loan servicers, loan investors, mortgage insurers, and non-profit housingrncounselors arranged for 42,000 homeowners to receive permanent loanrnmodifications in February vs. 44,000 in January.  That number includes 30,000 proprietaryrnmodifications and an additional 12,445 done through the Home Affordable Modification Program (HAMP).</p

Whilernthe program continues to respond to the need for foreclosure prevention,rnadministrators note steady declines in both foreclosure starts, which fell torn69,000 during the month from 75,000 in January and foreclosure sales which numberedrn36,000, down from 48,000 the previous month. rnBoth totals were the lowest since HOPE NOW began reporting seven yearsrnago.</p

HOPE Now has completedrnapproximately 6.93 million modifications over that period. About 5.6 millionrnwere proprietary modifications and 1.34 million were done through HAMP whichrnstarted two years later.   </p

Serious delinquencies (60 days orrnmore) were under two million for the second straight month – at approximatelyrn1.98 million.  HOPE NOW said this numberrnis yet another indicator of the progress made in stabilizing the housingrnmarket. For comparison purposes, there were 4.13 million homeowners who were 60rnor more days delinquent in December of 2009 – more than twice the currentrnnumber.  </p

The organization also facilitatedrn11,000 completed short sales during the month, a decrease of 8 percent from thern12,000 completed in January.  There were 2,300rnborrowers who exited homeownership through a deed-in-lieu, down from 2,500 inrnJanuary.</p

Eric Selk, Executive Director ofrnHOPE Now said, “Mortgage solution data collection continues to be a focus forrnHOPE NOW. We are pleased by the efforts of our servicer members, non-profitrnpartners and government partners on behalf of struggling homeowners. Even withrnserious delinquencies in decline, the industry continues to offer homeowners arnmultitude of sustainable and viable solutions that are alternatives to foreclosure.

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