Financial institutions that service mortgages, like GMAC Mortgage, are tracked through the Making Home Affordable Program and there is data which has shown alternative mortgage modification programs have been offered by various servicers to homeowners who may have been unsuccessful in their efforts to achieve permanent assistance through a federal home loan modification plan.
These reports which track homeowners who have attempted to find modification assistance do not offer data on all homeowners with services like GMAC who receive alternative modification plans, but they do show that homeowners who have either had their trial modification canceled or who were denied a trial modification altogether may have options outside of this federal assistance program in order to find the affordability in their home they need.
As an example, the October Making Home Affordable Report stated that GMAC Mortgage, through the month of September, had made 6,044 alternative modifications for homeowners who had their trial modification canceled and 33,686 alternative modifications for homeowners who were not accepted into a trial modification. Again, there are homeowners who have been able to obtain alternative mortgage modification plans outside of those in these particular categories, so more opportunities for alternative mortgage assistance programs may be available.
However, homeowners have complained that even alternative modification programs have been imperfect in preventing foreclosure for some. Understandably, financial institutions have come under fire by homeowners and some officials as there are many who feel modification and foreclosure prevention efforts should have seen more success.
Despite the fact that servicers and modification programs in general have been unhelpful for some, advisers are still counseling homeowners to either pursue federal modification programs or alternative mortgage modifications directly from servicers if they are having difficulty meeting their monthly mortgage payment and may face foreclosure as a result. Modifications, again, are no guarantee when it comes to avoiding the loss of one’s home, but there are opportunities still available to homeowners who may need more affordability in their monthly mortgage payment at the present time.