Wells Fargo has been offering assistance plans through various mortgage modification programs from the Making Home Affordable Program and in-house modifications as well. Yet, foreclosures and still remain a problem for many homeowners and there is question as to whether these home loan modification assistance programs are beneficial or if they are simply a short-term solution for homeowners in trouble.
Despite the fact that Wells Fargo has seen success in the modification program, according to some, there are homeowners who still feel that more options need to be presented so that long-term affordability can be attained through modifications. Reports indicate that Wells Fargo has continued to add homeowners to their permanent home loan modification numbers, but again, defaults and foreclosures are still present.
Homeowners have been using recent revelations that certain mortgage servicers did not properly process foreclosures as evidence that these lenders need to do more in order to prevent homeowners from losing their home. While Wells Fargo has not been one of the financial institutions that has stopped foreclosures due to this problem, there are still homeowners who feel that all mortgage servicers offering modifications need to find a more affordable payment strategy for those in need.
In-house home loan modifications are said to be helping more homeowners than those from the Home Affordable Modification Program, but there are also indications that a higher rate of homeowners may default on these private modification plans. Understandably, there are some cases where servicers like Wells Fargo can simply offer no further help since severe unemployment often leads to a homeowner’s inability to pay their mortgage.
In certain cases, homeowners are unable to make a mortgage payment and are seeking a home loan forbearance option, but in areas where continued defaults rise and foreclosure is inevitable, frustrated homeowners are accusing lenders of not doing everything they can. While the loss of a home is something any homeowner wishes to avoid at all costs, servicers like Wells Fargo continue to offer mortgage foreclosure prevention plans, like modifications, despite mixed results and criticism.