Delinquency is not something that is only impacting Bank of America homeowners, but in terms of homeowners who are estimated to be delinquent on their home loan and potentially may qualify for Making Home Affordable assistance, Bank of America did see a decrease in this area between May and June, which was recently reported by Treasury Department information made available here in September. However, delinquency is still an issue that many homeowners face and requires intervention on the part of a mortgage servicer or an alternative payment program, but it’s hopefully a positive sign that some servicers are seeing drops in the area of homeowners falling behind on their mortgage payments.
Specifically though, Bank of America saw a drop of over 6,000 homeowners who were estimated to be delinquent between May and June in the Making Home Affordable Program, but there are still issues that some homeowners may face when it comes to finding affordable mortgage payments and successfully completing a modification or payment reduction plan. Obviously, some homeowners may have fallen into foreclosure, and this could be a factor in these decreases in delinquency data, so foreclosure prevention for Bank of America homeowners is still an area of focus for those who are having trouble financially.
Recently we saw jobless claims increase and over the past months unemployment has been quite high, which is one of the driving factors behind homeowners having a troubling time making their home loan payment obligation, but this is nothing new as unemployment is cited as one of the main causes of economic trouble and consumer financial distress that is currently in place. However, homeowners who may be newly delinquent on their mortgage payment and are unaware of what offers Bank of America or other programs may offer aid may need to consider programs like modifications, be they a federal modification program or a private modification agreement between Bank of America and their homeowners, but homeowners have also been urged to look in that state as well.
Some areas like California, Arizona, and Nevada are still having a great deal of problems in the area of unemployment and the housing market, in terms of property value decreases, which have all created an environment where homeowners are struggling to keep their property and find more affordability in the long run. Yet, Bank of America homeowners may be able to have their specific issues addressed by state-specific programs, as their servicer has agreed to work within these programs in certain states that offer foreclosure prevention aid as well as federal plans like HAMP.
Homeowners do need to keep in mind that there are still improvements that need to be made in the modification program and many homeowners who pursue these foreclosure prevention plans do sometimes fail to find a solution, but officials are still prompting these men and women to speak with counselors and look into how current foreclosure prevention plans may fit their particular needs and potentially offer an improvement in their mortgage payment situation.