The financial services industry has coordinated 5 million loan modifications since 2007, according to new data released by HOPE NOW, the private-sector alliance of mortgage servicers, investors, mortgage insurers and nonprofit counselors.
Since HOPE NOW began reporting data in 2007, it is estimated that the mortgage industry has completed 4.97 million loan modifications for homeowners through Sept. 30, 2011. This includes more than 4.11 million proprietary modifications and 856,974 completed under the Home Affordable Modification Program (HAMP). Based on current trends, HOPE NOW estimates that the industry has surpassed the 5 million loan modification milestone to date.
For the third quarter, HOPE NOW reports approximately 256,000 loan modifications, which include 162,000 proprietary modifications and 93,903 completed under HAMP. There were approximately 200,000 completed foreclosure sales during the third quarter, compared to 314,000 during the same period in 2010, and 600,000 foreclosure starts – down from the 709,000 reported for the same period of 2010.
Furthermore, HOPE NOW recorded 2.81 million 60-plus-days delinquencies for the third quarter, down from the 3.17 million reported at the same point in 2010.
‘It is important for all stakeholders to continue to build on the hard work that has been done for homeowners during the past four years,’ says Faith Schwartz, executive director of HOPE NOW. ‘Success is achieved through outreach to non-contact borrowers, support and funding for the nonprofit counseling community, and reasonable, effective government policy.’