J.P. Morgan Chase has seen an increase in the number of permanent modifications they made through the federal Making Home Affordable Program according to an updated report recently released by the Treasury Department tracking servicer activity within the Home Affordable Modification Program. There have been some concerns over the past months as to whether permanent modifications, within the federal modification program, have been combating foreclosure difficulties which have been seen as there are many who feel foreclosures are more common than modifications.
While there is an increasing number of homeowners facing foreclosure and what many deem to be a slowdown in the modification program, there are still permanent modifications being seen from many major mortgage servicers and in-house modification efforts from institutions like J.P. Morgan Chase are said to be outpacing even the federal assistance plans, which may offer homeowners more options when it comes to preventing the loss of their home.
According to the latest report from the Making Home Affordable Program, J.P. Morgan Chase currently has 67,722 active permanent modifications as of November, which is an increase from 63,704 active permanent modifications as of the month of October. Overall, Chase has seen an increase in 2010 as reports from January initially had J.P. Morgan Chase with only 11,581 permanent modifications.
There are still issues related to homeowner troubles which center around unemployment or underwater mortgages, but there are programs which have been set in place to address these difficulties which homeowners are seeing. While there are still defaults being seen both outside of the modification program and within permanent and trial modifications, J.P. Morgan Chase also offers modification plans directly from in-house initiatives, for homeowners who may not qualify for a federal modification plan.
While there are questions over foreclosure practices which have arisen over the past months, foreclosure prevention efforts are still in place for homeowners in need, but many advisers have suggested that homeowners speak with their servicer or an approved housing counselor early before financial troubles and mortgage payment difficulties get out of hand. Obviously, modifications have been no guarantee when it comes to preventing the loss of a home, but there are extension programs available and state-specific mortgage assistance options which may help homeowners who do not benefit from proprietary or federal modifications.
Again, servicers like Chase have seen increases in the number of federal permanent modifications they have made, but many feel the overall success of the program will be limited and fall short of its initial goal. However, homeowners are still able to begin a modification program which may address issues related to their mortgage payment if affordability is an issue and default or foreclosure may be on the horizon.