J.P. Morgan Chase Home Loan Mortgage Modification Program Modifications–Homeowner Foreclosures

J.P. Morgan Chase has been one of the lenders working with homeowners in the Making Home Affordable Program. Over the past months, homeowners have seen an increase in the number of permanent home loan modifications that have been made from Chase, which has helped many to obtain a more affordable home loan payment.

However, there’s still the problem of foreclosures that many homeowners are facing when they are either denied a trial modification or have their modification trial period cancelled. According to the July 2010 Making Home Affordable servicer report, 11,977 foreclosures were begun by Chase, through June 2010. There are also 2,062 completed foreclosures, according to the July report, for homeowners who had their trial modification canceled.

These numbers in foreclosure starts and foreclosures completed for homeowners who had their trial modification canceled were up from the June 2010 report which indicated Chase had started 10,927 foreclosures and completed 1,119 foreclosures through the month of May. Yet, there is also homeowners that were denied a trial modification who also faced foreclosure. The foreclosure starts for homeowners who were denied a trial modification through the Making Home Affordable Program from J.P. Morgan Chase totaled 8,928 while completed foreclosures numbered 1,374.

There are many homeowners who believe that the number of foreclosures are too high and lenders must do more in order to bring about solutions in cases where homeowners cannot afford their monthly mortgage payment. There have been problems that range from homeowners being ineligible for a trial modification or having their trial modification canceled because of insufficient documents, a low debt to income ratio, homeowners who default during a trial modification plan, or homeowners who were denied assistance because they are not facing an immediate threat of default.

Many mortgage servicers like J.P. Morgan Chase have come under heavy criticism from homeowners who were denied a home loan modification or some form of assistance. Not all homeowners have qualified for or have been given some form of mortgage assistance but there are expansion programs within the Making Home Affordable Program and in-house mortgage assistance plans available directly from mortgage servicers.

Homeowners can still consult the Making Home Affordable website or hotline for assistance and may possibly qualify for free counseling from FHA-approved housing counselors, but there remains the problem of what should be done with homeowners who cannot benefit from these mortgage assistance plans. However, every troubled home loan situation a homeowner faces may not have a solution and, despite efforts to create programs to keep men and women in their home, sadly, there are certain cases and instances where a homeowner can simply no longer afford their home.

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