Arizona homeowners seeking loan modifications from HAMP have seen that there have been increases in the number of permanent modifications being made by servicers, but it may be the case that assistance alternatives from state programs like the Save Our Home program could also be useful to homeowners who are in a position where their mortgage payments have become too expensive to meet as a result of a variety of factors currently in place in the economy. Arizona was one of the hard-hit states that has seen issues in areas like housing and employment arise, and as a result more homeowners may be in need of this prevention assistance from a private modification plan from their servicer, federal modification programs, or state specific plans that may be opened from the Hardest Hit Fund.
Obviously, permanent modifications are what homeowners are seeking in many instances when the federal Making Home Affordable Program is the issue, and between June and July major cities in Arizona being tracked by the Treasury Department, specifically Phoenix, Mesa, and Glendale, there was an increase in the total number of permanent modifications being made in these areas from 24,707 in June to 25,059 in July.
While homeowners across the state of Arizona are still suffering financial setbacks, various banks are still seeing increases on an individual level when it comes to permanent modifications, despite the fact that the active trial modifications for Arizona, and many major mortgage servicers working within HAMP have decreased. Yet, homeowners now have more opportunities available for foreclosure prevention than in the early parts of the federal modification plan as state funding has allowed certain areas of the country to provide these specific types of assistance programs to their homeowners.
The Save Our Home Arizona initiative may be able to help homeowners through modification assistance plans or principal reductions, second mortgage aid programs, which may be similar to the Second Lien Modification program and forgiveness plans, or there are some homeowners who may be able to take advantage of Arizona’s unemployment mortgage assistance program that can help homeowners who are past due on their payments or struggling because of joblessness.
While none of these programs have been a guarantee for homeowners, it’s helpful for men and women who are struggling to make their mortgage payment when they know that federal options directly from their bank may be helpful, or in some cases private plans could be used to address problems that homeowners are having as well. Yet, in states where a high levels of unemployment and housing problems remain above the national average, it has given some homeowners peace of mind to know that there are further opportunities for foreclosure prevention that may be open from their state housing agency if other routes to mortgage payment affordability are unhelpful.