Homeowners with Citigroup have been seeking a home loan modification through the Making Home Affordable Program in order to obtain a more affordable home loan payment. However, there have been difficulties for some homeowners in the modification program as there are denials of trial modifications and cancellations of these trial periods, which is causing trouble for those homeowners who are reliant upon a more affordable mortgage payment just to stay in their home.
However, the Making Home Affordable servicer report indicates that some homeowners have seen alternative plans or modifications offered if they are denied a permanent home loan modification through the Making Home Affordable Program. Citigroup, for instance, has offered a total of 33,948 alternative modification plans and 1,197 alternate payment plans for homeowners who had their trial modification canceled.
Also, 1,146 short sale or deed in lieu of foreclosure plans were offered to homeowners according to the July servicer report which tracks data through June 2010. These numbers are a slight improvement from the June Making Home Affordable servicer report which tracked data through the month of May 2010. According to the June report, only 30,145 alternative modifications were made as of May and only 1,063 alternative payment plans had been offered.
There are troubles between homeowners and lenders still, but there is hope that these alternatives foreclosure prevention plans may be helpful where a modification trial is canceled. While the Making Home Affordable website and Hotline are still available to provide homeowners with information and possible assistance from FHA-approved housing counselors, many homeowners remain antagonistic against large mortgage servicers who they believe are unwilling to help homeowners that are in need.
Not every homeowner may qualify for assistance and there are many cases where servicers simply performed poorly, but outside of the modification program there may be assistance available from in-house plans directly from mortgage lenders.