Wells Fargo Home Loan Modification Program–Do Homeowners With Denied Modifications Have Other Options?

Homeowners who have been working with Wells Fargo in order to obtain a more affordable home loan payment have primarily sought out mortgage modifications from the Obama Making Home Affordable Program. Yet, despite success from many lenders and increasing the number of permanent home loan modifications made each month, there are lenders who are still being denied this mortgage assistance option and as a result have grown frustrated. There are, however, alternative forms of modification programs that many lenders are offering through in-house assistance plans.

As an example, Wells Fargo has aided homeowners who were denied a permanent modification or rejected from entry into a trial modification by offering them alternate assistance options. The number of Wells Fargo home owners who were offered alternative modification assistance options after being rejected from a trial modification or having their trial modification canceled comes to the total of 98,155, according to the June 2010 Making Home Affordable report. This number, the combined total of homeowners who either had their trial modification cancelled or who were denied a trial modification altogether, is current through May 2010.

Also, homeowners who are unable to keep their home, as even a modification has been unhelpful for some, are able to take advantage of short sale or deed in lieu of foreclosure programs.  Wells Fargo has offered a total of 7,139 short sale or deed in lieu of foreclosure plans for homeowners who were either denied a modification trial period or who had their trial modification cancelled.

However, homeowners are still unhappy with the modification program and lenders as many are still asking that more be done to provide assistance to those struggling to pay their mortgage.  While Wells Fargo has made 44,628 permanent home loan modifications as of June 2010, there are homeowners and governmental officials who believe more can be done.

Homeowners are still being told to talk with their home loan servicer if they are having trouble with their monthly mortgage payments, but there are also outside sources that can be of assistance as well.  Homeowners can consult the Making Home Affordable website or call center for more mortgage aid information on working their way through the modification program.