Citigroup’s continuing work with home loan modifications has provided various methods for homeowners to lower their monthly mortgage payments, but these options are also being used by various mortgage servicers across the nation. Many of the financial institutions who are participating in the Making Home Affordable Program are those who are also using in-house modification plans to assist homeowners who are struggling to meet their payments on their home loan.
Yet, according to the September Making Home Affordable Program report, servicers have been using a combination of interest reductions, term extensions, and even principal reductions in certain cases where homeowners are in a difficult situation. Also, there are servicers, like Citigroup, who are a member of the HOPE NOW initiative, which has tracked in-house home loan assistance programs made directly from these financial institutions.
It needs to be understood that both in-house, alternative modifications and governmental home loan modification programs have not been perfect when it comes to helping homeowners, but there are those who feel that these options, which are made available to homeowners in need, may go further when it comes to aiding homeowners in avoiding foreclosure. Since homeowners have more than just one option, in most cases, when it concerns getting a lower monthly mortgage payment, there are those who feel that, if these assistance plans are implemented correctly over the next months, more homeowners could see assistance options as a result.
However, homeowners with Citigroup and other servicers who are making home loan modifications available do still have to consult their mortgage servicer before an affordable modification option may be made available. While, again, government home loan modification programs, HAMP extension plans, and alternative modifications are still available from many of the nation’s top financial institutions, not all homeowners have been able to avoid foreclosure through these opportunities.
Yet, it’s hoped that servicers will be able to offer more assistance by using various methods to prevent the loss of a homeowner’s property, and offer affordability while homeowners who are struggling in their personal financial life work to find a more stable ground.