Foreclosure starts and completed foreclosure sales for August rose 18% and 5%, respectively, from July, HOPE NOW reports. Foreclosure starts jumped from 185,076 to 217,955, while sales rose from 64,578 to 67,663, according to the coalition's monthly report.
On the loan modification front, the number of permanent proprietary modifications (i.e., non-government mods) was virtually unchanged – rising slightly from 55,687 in July to 55,828 last month.
About 83% of all proprietary modifications reduced principal and interest payments, and 68% of all proprietary mods featured payment reductions of 10% or greater, HOPE NOW says.
"HOPE NOW's servicing partners continue to complete permanent loan modifications at a rate consistent with past months – in spite of tremendous negative impact of the continued housing and unemployment crisis," says HOPE NOW Executive Director Faith Schwartz. "And, in cases where modifications are not possible, the industry is working hard to educate at-risk homeowners about the options available to them.’
According to the survey data, the inventory of 60-day-plus delinquencies was 2.80 million in August – down slightly from the 2.81 million reported in July.