Countless homeowners have been seeking mortgage assistance through the home loan modification program which is being used by lenders like Citigroup to assist homeowners who are having trouble making their monthly mortgage payments. While there has been pressure on lenders to do more when it comes to helping homeowners obtain affordable home loan options, there’s still the problem that homeowners are facing foreclosure due to either being denied a modification or failing to complete the trial modification process.
While there have been alternative plans offered and in-house programs available to homeowners who fail to obtain a home loan modification from the Obama’s Making Home Affordable Program, Citigroup has still had homeowners who have entered into foreclosure after being either denied a trial modification or having their trial period canceled. For Citigroup, according to the June 2010 Making Home Affordable report, 509 foreclosure completions have occurred for homeowners who had their trial modification canceled, as of May 2010. For homeowners who were not even accepted into the home loan modification trial period, a total of 4,068 homeowners faced foreclosure as a result.
There are homeowners who have been troubled, missed their mortgage payments or defaulted on their home loan, which has led to a foreclosure, but alternative modification plans and deed in lieu of foreclosure programs that homeowners can use to avoid going through the foreclosure process are available. While some homeowners simply cannot afford their home any longer, even when a modification has been set in place, there are ways in which foreclosure can be avoided.
Homeowners who have attempted to save their home but have simply been unable to do so because of financial difficulties may be given a chance to avoid foreclosure through programs like the deed in lieu of foreclosure program or short sale options from their mortgage servicer. Homeowners who enter into one of these programs may take less of a hit to their credit score than if they were foreclosed upon, and this can be helpful in the future when a homeowner gets back into a financial position where they can afford the costs that come with owning a home.
Mortgage modifications are still being offered from a variety of lenders across the nation, with Citigroup being one of the top lenders in the Making Home Affordable Program, homeowners are advised to contact their mortgage servicer to begin the modification process or consult the Making Home Affordable website or hotline for assistance outside of mortgage lenders.