Over the past months, there have been concerns about the Obama mortgage modification program as there are reports that modification numbers have been down. However, assistance through the federal home loan modification program is still available to homeowners who are facing foreclosure if more affordability cannot be gained concerning their monthly mortgage payment. However, recent reports have shown that areas like the trial modification period have seen decreases between this year and last.
Yet, there is some hope as alternative home loan modifications are still available for homeowners who may have trouble with the federal modification program and are in need of alternative foreclosure prevention assistance. While home loan modifications are still being made from HAMP and increases in the number of permanent modifications were seen in 2010, there is still concern by analysts and homeowners alike who feel that the modification program from the Obama administration is losing steam.
Lenders, though, have been reportedly seeing more success through proprietary modifications as a greater number of homeowners are finding mortgage debt relief through these plans made directly from servicers than from the Making Home Affordable Program. Obviously, troubles related to home loan assistance plans and the affordability that homeowners seek have been mainly the result of drops in home prices and unemployment, but there are plans which are in place to address these issues as well.
While homeowners who are underwater may be able to get a forbearance on their home loan through the Home Affordable Unemployment Program, there are some homeowners who simply may need a lower monthly mortgage payment on their home loan lest they risk defaulting or facing foreclosure. Understandably, homeowners have not been without their complaints when it comes to these modification plans, as both federal and proprietary modifications have reportedly had their problems. Homeowners who continue to redefault are a major concern as this could lead to a wide number of foreclosures and homes simply sitting empty.
Yet, homeowners do still have affordability options through the federal home loan modification program and alternative modification plans made directly from in-house programs by servicers. While these alternative modifications are no guarantee, homeowners are advised to speak with their mortgage servicer if financial troubles arise, so that the best course of action may be taken and homeowners may give themselves a better chance at finding foreclosure prevention assistance.