Information for homeowners who are looking for a trial home loan modification here in the month of May have shown that, earlier in 2011, there are fewer trial modifications that are currently active according to Treasury reports that have been keeping data on the federal home loan modification initiative. Housing troubles still remain in place for homeowners in a variety of areas across the nation, and there are those who may still be unaware of these particular forms of foreclosure prevention assistance or might be in a position where due to financial strains, a mortgage modification may be necessary.
As of the month of March, active trial modifications were down from the previous month to a total of just over 137,000, but there are some general steps that homeowners may be able to use in order to receive a lower monthly mortgage payment through one of these trial modification initiatives. Yet, homeowners need to understand that even though trial modifications have been difficult to acquire for some homeowners, there are still issues that homeowners face when a trial modification is offered and, as a result, not everyone has gotten more affordability on their mortgage.
Generally speaking though, homeowners who are looking for a trial modification in May still have certain qualifications that must be met, and since policy changes that are hoped to bring about less confusion by implementing a single point of contact have yet to take place, there are some preventative measures that homeowners have taken over the past months. There are banks that do allow homeowners to work with a single representative through the entire home loan modification process, but homeowners may also consult housing counselors made available from the HOPE Hotline, which could help homeowners better prepare themselves for the modification application process.
When it comes to homeowners submitting an application for a payment reduction during a trial modification phase, documentation is obviously required which often has homeowners submit paperwork showing financial hardship, and this is one important aspect of the home loan modification process as some homeowners who are unable to prove that they have met difficulties related to hardships like unemployment are usually those who may have a more troubling modification experience or will be denied altogether. No matter what paperwork is required, though, homeowners must make copies and be ready to deal with issues like lost paperwork, as there have been problems in this area that homeowners have faced for months.
Keeping in contact with a mortgage servicer and tracking the names of representatives homeowners have worked with can be helpful, but again, there are resources from not only mortgage servicers but the HOPE Hotline as well since, once again, housing counselors from this particular program may be in a position to help homeowners acquire a modification no matter what their specific mortgage situation may be. Over 39,000 people have received free housing assistance from counselors through this program in the month of March, and it is still available here in May for homeowners who may have questions or simply need guidance. Yet, homeowners must understand that a modification is not always a guarantee to foreclosure prevention or a permanent modification, as there are issues which have arisen in the lives of many homeowners that have either necessitated alternative programs be explored or require that homeowners prepare for the loss of their home.