GMAC Permanent Modifications Currently Active See Little Movement–What The Latest Treasury Reports Show In July

Reports from the Treasury Department that were released at the first of July have indicated that GMAC Mortgage saw relatively little movement in terms of the number of permanent home loan modifications they have made within the federal Making Home Affordable Program. Data has shown that, for the month of April, 37,580 permanent modifications were currently active for GMAC Mortgage, but the report that was recently released and tracked information through the month of May stated that only 37,928 active permanent modifications were currently in place.

This has been something that some servicers have seen, while others have made great leaps in the number of permanent modifications they have made over the past months. There is speculation that factors like continued setbacks from foreclosure scandals seen last year, alternative options for foreclosure prevention, and even opportunities like short sales are contributing to some of these banks seeing a decrease in the number of active permanent modifications that are in place.

While GMAC mortgage does participate and short sell programs and alternative modification options, there are still some of these major financial institutions who are seeing aspects of their modification efforts decrease, in terms of new homeowners who are getting assistance from these federal programs, but homeowners should remember that despite the fact that some banks are seeing fewer increases in certain areas, these programs are by no means unavailable.

In fact, the changes in the Making Home Affordable Program are hoped to be reflected in numbers that are to come in the months here in the middle to later parts of 2011, simply meaning that it is hoped more homeowners may find foreclosure prevention assistance or alternative aid as we get data from later in the year. Yet, there are also some servicers who are seeing a decrease in the total number of borrowers who are estimated to be delinquent on their home loan, with GMAC Mortgage being one of those banks. Obviously, slower increases in permanent home loan modifications that are the result of fewer homeowners being in need is good for the housing market and our economy, but not all banks that saw a small number in their increases within the permanent home loan modification data can say that fewer homeowners in need is the reason.

Many homeowners are still struggling to make ends meet and, as a result, there are more homeowners falling into delinquency even at the present time, so tapping into resources like home loan modifications either from HAMP or proprietary plans available specifically from mortgage servicers can still help homeowners avoid the loss of their home. There have been some complaints by homeowners when dealing with their bank though, so homeowners may want to contact a reputable housing counselor in their area, which may be available from HUD or the HOPE Hotline, as these resources can help homeowners explore options and better communicate with their servicer to prevent the loss of their home.