GMAC Mortgage is one of the servicers within the federal Making Home Affordable Program who did see a slight decrease in the number of active trial modifications that were made, according to reports released here in July, that provided data through May of this year. Understandably, there are factors that do weigh into these numbers as, obviously, permanent modifications may increase at a rate that is greater than the number of trial modifications and, as a result, all modifications that are currently active may decrease despite the fact that these programs are still an option.
Homeowners do understand that there are issues which surround many of the major mortgage servicers within HAMP that have also been addressed over the past months as these initiatives and servicers charged with implementing these programs have not been perfect and have led to the need for change in specific areas like transitioning from trial modifications to permanent modification plans. While GMAC Mortgage only saw a decrease from 3512 active trial modifications in April to 2453 active trial modifications in May, there are still homeowners who are unhappy with not only the success of particular servicers but the mortgage modification program overall.
Also, the Treasury Department expressed displeasure with some of the banks that are working their way through homeowner requests for modifications in the form of a rating system that was released last month, and showed information through the April 2011 Making Home Affordable report. Banks who are currently working with homeowners in this program have been prompted to press for more results in terms of offering trial modifications, permanent home loan assistance options, and alternatives if homeowners are still in need after exploring these options, but they have not always worked for specific homeowners and, again, this has led to frustration for some.
As with any other financial institution, GMAC Mortgage homeowners do need to remember that there are resources outside of their bank which may help them deal with the requirements of the modification program. While there are some housing counselors who have been guilty of scamming homeowners, there are reputable counseling organizations made available by the HOPE Hotline which can guide homeowners through the difficult process of not only getting a trial modification but may help homeowners set themselves in a better position where they can qualify for and afford a permanent home loan modification plan.
While homeowners are seeing troubles related to a decrease in net income or problems in their health to be the cause of their home loan modification needs, homeowners who are currently finding themselves in a situation where a home loan modification may be necessary need to understand that there have been improvements and help is available from different options, despite the fact that the modification program and its servicers are not perfect and there are ultimately no guarantees that even under the best of circumstances a homeowner will qualify for this type of aid.