Citigroup’s CitiMortgage reportedly saw an increase in the number of permanent home loan modifications they made from August to September of 2010. The September Making Home Affordable servicer report indicates that Citigroup increased their permanent modifications which are currently active from 47,236 to 49,538.
Citigroup has seen continued success over the past months as it was reported they had only made 10,929 permanent modifications in January of 2010. While there are continued increases for some servicers, like Citigroup, there are also reports that the Making Home Affordable Program has actually made far fewer modifications than servicers who offer direct modification assistance.
Despite the fact that increases continue in many areas of the modification program, there are still homeowners facing the possibility of foreclosure as factors like unemployment continue to cause trouble for homeowners, servicers and the housing market as a whole.
Yet, Citigroup is also participating in extension programs that have been offered by the Making Home Affordable Program. These extension plans are hoped to address problems like unemployment, underwater mortgages, and second liens, which may be preventing a traditional modification from being helpful.
While foreclosures remain an issue in the housing market, homeowners are also being given alternative options like short sales and deed-in-lieu of foreclosure plans in order to allow them to escape the formal foreclosure process.
It’s true that homeowners are still unhappy with mortgage servicers in some ways, but homeowners with Citigroup who are struggling to make their mortgage payment are being advised to contact their lender as soon as trouble paying their mortgage arises. While not every homeowner may benefit from a modification, advisers believe that the earlier a homeowner addresses their mortgage issues, the higher the likelihood of finding an affordable solution.