Numerous homeowners are keeping track of their servicer and the efforts of their particular financial institution within the federal Making Home Affordable Program, and for those who are with J.P. Morgan Chase, recent reports released in the early parts of June have shown that there are decreases in the number of homeowner delinquencies that have been seen and other positive results like the increase in the number of active permanent modifications that homeowners are seeing from Chase as well. Obviously, delinquency and the inability of homeowners to meet their mortgage payments have been one of the main problems that homeowners face, particularly as it relates to unemployment, but as data from earlier in 2011 has shown in these recent Treasury reports, estimated delinquent homeowners have fallen.
This could be a good sign for certain financial institutions who are seeing these decreases, but of course there are banks which have seen an increase in the number of homeowners who were estimated to be behind on their mortgage payment for at least 60 days or more. For J.P. Morgan Chase though, the most recent reports released in May and June, which have tracked delinquent homeowner data for February and March, stated that Chase saw a decrease of over 199,000 homeowners to a little over 160,000 delinquent homeowners between these two reports.
While some of these homeowners may be seeing options available through the federal home loan modification initiative, there are still issues related to trial home loan payments and the transition from a trial program to a permanent home loan modification within J.P. Morgan Chase’s efforts. Yet, Chase is by far not the only servicer that has been hearing complaints about homeowners who want faster transitions into a permanent modification or more affordability within the federal home loan modification trial plans, but there are alternatives that homeowners have had to rely on when the federal modification program was not helpful for their situation.
A lot of the blame for the shortcomings of the federal modification program has fallen on the shoulders of these servicers, yet there are cases where homeowners may simply not qualify or documentation errors and paperwork problems may have led to some seeing their modification application being denied. It’s hoped though, with rating systems that have been released this month, that these homeowners will be in a position to benefit from changes that have either been set in place and are hoped to be reflected in future reports, or changes that are on the horizon which may lead to less confusion or errors that may prevent some homeowners from keeping their home and finding an affordable payment.