Homeowners with GMAC Mortgage have seen increases in the number of foreclosure starts and foreclosure completions for those who were unsuccessful at acquiring a home loan modification from HAMP but this idea that homeowners have no options outside of the modification except to resign themselves to foreclosures has been erroneous and has prompted officials and financial advisers to point out that there are a variety of programs that may help homeowners with numerous servicers find the foreclosure prevention they need. Yet, GMAC Mortgage and others have continued to see foreclosures despite having these options available, which means that there are still numerous homeowners in a position where they may lose their home if some form of aid is not made available.
Yet, when it comes to the increases in starts and completions of foreclosures with GMAC Mortgage, there are, as is the case from one servicer to another, some situations that are more or less severe. As an example, for GMAC Mortgage homeowners whose trial modification was canceled, the total number of foreclosure starts that were in place as of May stood at 1,620, but reports released here in September, which track information through the month of June indicated that a program total number of foreclosure starts in this category stood at 1,715. For this section of homeowners, the number of foreclosure completions increased from 1,480 to 1,551 total completions for GMAC Mortgage.
Also, there were problems with homeowners who were denied a trial modification, and as a result some did indeed face foreclosure with this particular servicer, among others as well. Yet, in this particular category for GMAC, the total number of foreclosure starts tracked between May and June decreased from 16,064 to 15,984, while the number of foreclosure completions for this group of homeowners increased from a program total of 11,569 to 12,229.
Understandably, homeowners are still fighting a battle in their personal financial lives in many areas of the country when it comes to their income, particularly as some small business owners may have seen their profits decrease, general business slow, and employees are also still dealing with factors like a high level of unemployment. While a new strategy on jobs is hoped to be outlined by President Obama next week, there are still numerous factors that have created problems in the housing market for homeowners and despite the fact that modification efforts have begun to slow and are deemed to be less effective in some instances, it’s hoped that these foreclosure prevention efforts can continue and either changes or new proposals which may arise in the future could help more homeowners address their specific issues and ultimately avoid foreclosure.
Yet, homeowners do still have options for not only modifications but state programs as well as there are individuals who simply will not benefit from a modification but may need assistance dealing with factors like unemployment. While there are plans to offer more affordable payments for homeowners, there are those who may need to explore unemployment assistance plans available directly from states or mortgage servicers as there are opportunities for plans like forbearance or payment assistance in instances where the simple lowering of a mortgage payment is unhelpful.