J.P. Morgan Chase is one of the big lenders participating in the Obama home loan modification program and they have had some decent success over the past few months as more and more homeowners are getting modifications through the Making Home Affordable Program.
However, some lenders are not using all of the options available from the home loan modification program as many lenders don’t want to use principal reductions or unemployment forbearance options on a wide scale. Underwater mortgages and unemployment have been a big problem for homeowners and lenders over the past few months, but not all lenders see eye to eye when it comes to dealing with these problems.
J.P. Morgan Chase is one of the lenders who doesn’t believe that principal reductions should be used for the majority of cases where homeowners have found their mortgage to be underwater. While J.P. Morgan doesn’t believe that nothing should be done in these cases, there are many lenders who feel that in situations where homeowners are not struggling to make their mortgage payment, homeowners may benefit from options other than reducing the principal.
Many homeowners are growing frustrated with their financial situation, which is understandable when the homeowner either cannot find a job which will afford them the ability to pay for their mortgage or they are simply struggling and paying on a mortgage that is higher in value than the home to which it is attached.
It’s being advised that homeowners who are struggling or having trouble making their mortgage payment should contact their lender about the best route or program to take when it comes to getting assistance on their mortgage.