The home loan modification program which was set in motion by the Obama administration has seen many troubles with both lenders and homeowners. The reason for this is there are a number of complex mortgage problems that have arisen in the housing market causing both homeowners and lenders to struggle in the Making Home Affordable Program.
Unemployment, the decrease in home prices, and homeowners losing wages due to cutbacks at their place of employment are just a few of the troubles that homeowners are facing as the economy and job market still recover. Principal reductions, unemployment forbearance plans, refinancing options, and home loan modifications have all been sought out by homeowners in order to make their mortgage more affordable but there have been problems which have caused hardship for many homeowners.
Lenders have been accused of not doing all they can to help struggling homeowners through the Making Home Affordable Program and the Treasury Department is set to review lenders’ participation in the home loan modification program to make sure homeowners are getting the assistance they need, as many feel that since the original goal of the Making Home Affordable Program is far from being met there are problems.
Mortgage lenders that are participating in the modification program have not been perfect in assisting homeowners, but there are arguments that some homeowners have failed to uphold their part of the Making Home Affordable modification program and lenders are not being given credit for in-house assistance that is being provided to homeowners who may not qualify for the Obama administration’s mortgage assistance program.
While lenders have, again, not been perfect and the home loan modification program has its problems as well, homeowners who do qualify for mortgage assistance are still being advised to contact their mortgage lender to ask about any help that may be available so that they can avoid foreclosure and make their mortgage more affordable.