The most recent Making Home Affordable report for Wells Fargo and Wachovia Mortgage have shown that permanent home loan modifications increased despite the fact that continued hindrances in the overall home loan modification program and the call for the termination of HAMP were said to be due in part to the lackluster performance of the program has seen. While numerous servicers did see an increase in the number of permanent home loan modifications they made, there are still many who feel that servicers are simply not doing enough to put homeowners in a permanent home loan modification position.
However, the December 2010 Making Home Affordable Report stated that Wells Fargo Bank, which includes all of the loans previously reported for Wachovia Mortgage, stated that there was a total number of 70,135 active permanent modifications, but that number increased according to the January 2011 HAMP report where it was said that Wells Fargo had reported 74,434 active permanent modifications. Obviously, increases in the number of permanent modifications that are being seen as a positive for the modification program and struggling homeowners in general, but many officials are still looking at the bottom line and have pointed out that the Making Home Affordable Program will unlikely be able to meet its original goal.
While there were questionable foreclosure practices on the part of some servicers, it has also been stated that some homeowners are simply having a difficult time making it through the modification process as even a trial modification is sometimes difficult to obtain. Homeowners have accused servicers at many points in the modification program, as some have said they were unjustly denied a modification, their servicer lost their paperwork multiple times, or they were simply given a modification agreement that was unaffordable.
There are many who feel homeowners may want to contact reputable housing counselors from the Making Home Affordable Program or the Department of Housing and Urban Development, as these counselors may be able to help homeowners find more ways to meet their mortgage payment with their personal income or could help these individuals through the modification process and see a higher likelihood of success.
Obviously, there are no guarantees when it comes to home loan modifications, but homeowners with servicers like Wells Fargo are still being prompted to contact their bank early as not only federal modifications are being offered, but reports are indicating that many financial institutions are seeing a greater number of success stories in terms of modifications offered directly from in-house assistance plans. Not only are federal and proprietary modifications being offered, but even state-specific foreclosure prevention plans are being made available to homeowners in various areas and it’s hoped that more foreclosures can be avoided in the coming months through continued increases in the foreclosure prevention efforts.