For some homeowners, home loan modifications are simply not enough and there are instances where homeowners are either denied a trial modification or have there trial modification canceled due to their inability to meet these modified home loan payments. Yet, for Citigroup homeowners who have fallen into foreclosure after one of these two instances occurred, the Treasury Department’s Making Home Affordable report showing the latest information within the program has indicated that Citigroup has seen mixed results in some areas of foreclosure starts and completions.
Homeowners should keep in mind that these home loan modification programs are still available, but they are being made at differing rates from one servicer to another and are not guaranteed when a homeowner is seeking foreclosure prevention assistance. Also, there are homeowners who still fall into foreclosure as a result of their inability to make their home loan payment but for Citigroup, there have been relatively few changes in terms of these foreclosure paths which homeowners may follow after the modification program.
As an example, homeowners with CitiMortgage who were not accepted for a trial modification and subsequently fell into foreclosure are grouped into categories where either a foreclosure start has begun or a foreclosure completion has taken place. According to the Treasury Department’s report, Citigroup saw a decrease in the number of foreclosure starts for homeowners in this category from March to April of 2011 as the number of foreclosure starts fell from 7759 to 7364. Yet, this category of homeowners also saw an increase in the number of foreclosure completions that had been made to a total of 6165. Yet, for homeowners who were in a position where their trial modification was canceled, numbers for foreclosure starts and completions stayed relatively unchanged as there were a total number of 9634 foreclosure starts that had been tracked for Citigroup during their participation in the modification program and 2091 foreclosure completions in total throughout the modification program for homeowners in this particular category.
Despite the fact that it has been mentioned repeatedly over the past months by a variety of news sources, modifications can be helpful to homeowners when it comes to avoiding the loss of their home but there are alternative programs that are currently being used by not only servicers like Citigroup through private plans but state housing agencies who are implementing programs like the Hardest Hit Fund, which may help homeowners with their mortgage payments as well. If homeowners find that there mortgage modification payment is still too difficult to meet, it may be necessary to either contact their servicer, their state housing agency, or a representative from the Making Home Affordable Program in order to explore options outside of this particular foreclosure prevention plan.