Alternative assistance programs for homeowners who are seeking a federal modification from servicers like Wells Fargo been made available over the recent months as a way to provide more options for homeowners when it concerns foreclosure prevention efforts. Modifications made from mortgage servicers have been helpful to some homeowners but other have had difficulty qualifying for a permanent modification or even a trial home loan modification from the Making Home Affordable Program.
Yet, there are indications that suggest homeowners are seeing success in the alternative modification plans as report show proprietary modifications are beginning to become more available to homeowners in numbers that are outpacing federal mortgage modification assistance.
As an example, Making Home Affordable servicer report for September indicated that homeowners who had their trial modification canceled were able to find an alternative modification in some cases, and according to data, 63,056 homeowners in this category were offered an alternative modification from Wells Fargo. Yet, that number increased to 63,877 homeowners in the same category according to the October 2010 report.
There is also data tracked by HOPE NOW which shows the total number of proprietary modifications which have been made by servicers who are offering these alternative assistance opportunities. Understandably though, there are homeowners who are still having trouble making mortgage payments and even when alternative assistance is offered, this has not been a guarantee to prevent foreclosure for some.
Homeowners have still had difficulty with servicers in some areas or have been unable to pay their mortgage due to factors related to unemployment and other financial hardships which have caused many to default within these modification plans. Despite troubles that remain between homeowners and financial institutions, individuals who are having trouble making their mortgage payment are still being advised to contact their mortgage servicer to begin the process of finding a foreclosure prevention program which may be right for their situation.