Homeowner assistance for Citigroup through permanent home loan modification programs made within the Making Home Affordable initiative saw a slight increase according to the newest HAMP report for February 2011, as more homeowners are still finding themselves in a position where foreclosure prevention is needed through these modification efforts. Issues like negative equity and unemployment are still causing financial distress in the lives of homeowners, but there are also individuals who are still struggling within the modification program and, sadly, have defaulted again even after they have had some form of mortgage modification aid offered.
Obviously, homeowners who are facing the loss of their home are looking to their financial institution for solutions as the Making Home Affordable Program has made available not only traditional modifications, but extension plans that may offer alternative forms of affordability and plans that offer homeowners alternatives to foreclosure, through options like a short sales or surrendering their deed. Yet, private modifications have also been used by some unnamed institutions, despite the fact that there are still issues that homeowners are reporting in this area as well.
Citigroup saw an increase in the number of active permanent modifications they had made from January 2011, which stood at 43,286, to 43,996 active permanent modifications as of February 2011. This slight increase for Citigroup is part of an overall increase in the home loan modification program that many homeowners have seen not only in 2011, but since the program’s inception, yet there still have been some opponents of the program who feel that, overall, it has been a failure and should be terminated.
However, many worry that if home loan modifications were not at least an option for homeowners, there could be further setbacks in the recovery of the housing market, even though there are officials who feel the Modification Program has been more of a hindrance than help. There are issues that homeowners have faced with a variety of servicers that have led many to feel either the modification program is flawed in general or financial institutions need to face some form of penalty because they are not properly implementing the program in a way that will aid the maximum amount of homeowners facing the loss of their home.
It’s true that there have been various complaints against multiple mortgage servicers and the implementation of these programs has been far from perfect on the part of numerous banks, but many believe that homeowners still need these options available as both private and federal modifications, along with program extensions that are set in place to aid negative equity problems and unemployed homeowners, have been helpful even if not to an extent that many feel has been successful.
Yet, modifications are still available to homeowners in need and, no matter what servicer an individual is with, there are options that may be in place to address their particular issues. Homeowners may contact their servicer directly to inquire about assistance programs or there are those who have also turned to housing counselors approved by HAMP or Hope Now as a way to not only acquire more information about finding affordability in their mortgage payment but there are some counselors who may be able to guide homeowners through the modification program and make the process easier.