Homeowners with Citigroup may take hope in the fact that permanent modifications have been made increased according to the August 2010 Making Home Affordable report and continued trial modifications are offering some the opportunity to lower their home loan payment. Citigroup’s permanent modifications number at 47,236, as of August 2010, while their active trial modifications number at 14,533.
While many would see this as continued improvement in the Making Home Affordable Program, there are those who feel that the Obama administration’s modification plan is beginning to slow since it has been stated more homeowners are finding assistance through in-house home loan modifications made directly from mortgage services.
Citigroup, along with other mortgage servicers, do continue to provide these foreclosure prevention assistance options, but there are reports that homeowners still default even after assistance plans are put in place. Arguments over in-house modifications being too costly and servicers making the cheaper Making Home Affordable Program modifications difficult to obtain, many homeowners are understandably frustrated when they are unable to find affordable mortgage solutions.
Mortgage servicers have not been perfect in their implementation of these home loan assistance plans, but there is hope that with continued growth in the Making Home Affordable Program and alternative modifications still available, there will be more homeowners who find aid for their mortgage payment difficulties even though defaults still remain a problem.
There are those who feel that no matter what mortgage servicers do, factors like unemployment will still remain the driving cause of foreclosures and there are no long-term mortgage solutions to help homeowners who have lost their job, are either relying on unemployment benefits as their only source of income or have simply seen a drastic drop in their total household income.