The Obama Home Affordable Modification Program has been a lifeline for many homeowners who are struggling to make their home loan payment. Many individuals across the nation are finding that it is becoming more difficult to make financial ends meet thanks to factors like unemployment or homeowners who have lost value in their home have found themselves in a situation where their home loan payment is too expensive.
Yet, modifications that have been made by some of the nation’s top lenders are helping homeowners more so than they did earlier in the year. In January of 2010 the Making Home Affordable servicer report indicated that only 116,297 homeowners had received a permanent modification on their home loan. However, that number increased over the past months and, as of June 2010, 389,198 homeowners were in a permanent modification status.
These numbers have increased over the past few months, which has helped many homeowners who were in a position of dire need. Yet, many homeowners believe that lenders still should do more to aid homeowners as there are individuals who are being denied trial and permanent modifications, losing their home, or filing bankruptcy.
Homeowners say that many lenders are not working with those who can qualify for a home loan modification and the Making Home Affordable Program has not helped as many homeowners as it could have had the lenders done more. Lenders, on the other hand, state that many homeowners either do not qualify for the program, do not submit the proper paperwork, or there is the problem of homeowners who were granted a trial modification still defaulting on their home loan payments.
It’s obvious that there are still homeowners who are in need of a modification, as the June modification report indicates that 1,282,912 trials had begun until that point, but only 364,077 were still active. Homeowners still point to the fact that lenders are simply not accepting homeowners in the modification trial program, but lenders believe that troubles like unemployment are causing many homeowners to simply fall into the position where they cannot afford their home loan payment.
However, homeowners are still being advised to talk with their mortgage lender if they’re having troubles making their payments as modifications are still available. There are also extension plans from the Making Home Affordable Program that can help homeowners in specific situations and offer foreclosure alternatives to homeowners who face losing their home. While no lender has been perfect, homeowners are still being asked to talk with their mortgage servicer or consult the Making Home Affordable website for more information on obtaining a more affordable home loan payment.