HOPE NOW has released its November 2011 data showing that permanent loan modifications totaled almost 84,000 for the month, bringing the total for 2011 to approximately 969,000. Since HOPE NOW began tracking foreclosure prevention data in 2007, member mortgage servicers have completed 5.13 million total permanent loan modifications for homeowners nationwide. Additionally, HOPE NOW Executive Director Faith Schwartz announced the cities for homeowner outreach in the first quarter of 2012 that include expanded efforts to assist at-risk military homeowners as well.
“The mortgage industry and its partners have worked hard for homeowners nationwide," said Schwartz. "With almost one million loan modifications completed in the first 11 months of 2011 and over five million since 2007, it is clear that efforts to assist at-risk families via all available channels are bearing some fruit."
Homeowner events are already in the advanced stages of planning for Charlotte, N.C.; Miami, Fla.; Tampa, Fla.; Las Vegas; Sacramento, Calif. and Los Angeles in the first quarter of 2012.
"There are more alternatives to foreclosure than ever before for homeowners through federal programs, proprietary modifications, and state level initiatives such as Hardest Hit Funds," said Schwartz. "Mortgage servicers and non-profit, housing counselors are using all tools at their disposal to find options that fit each individual homeowner’s situation whenever possible. The emphasis continues to be on improving the customer experience through enhanced technology, single point of contact and leveraging all tools available to assist with foreclosure prevention, which in some cases includes graceful exits."
Since HOPE NOW began reporting data in 2007, the mortgage industry has completed 5.13 million loan modifications for homeowners. This includes approximately 4.22 million proprietary modifications and 909,953 completed under the Home Affordable Modification Program (HAMP). From January through November 2011, there were approximately 969,000 modifications, 639,000 proprietary and 330,303 completed under HAMP.
"As we move into the heart of the first quarter of 2012, HOPE NOW, its government, non-profit and state partners have already planned multiple face to face outreach events in key markets," said Schwartz. "Additionally, HOPE NOW has worked with several military partners to implement events geared towards a specialized segment of at-risk military homeowners who have a unique set of mortgage challenges."
Of the 84,000 loan modifications for the month of November, approximately 57,000 were proprietary and 26,877 were HAMP modifications. According to the survey data, the inventory of 60 day plus delinquencies is 2.77 million for November 2011, up from the 2.65 million reported in October. Foreclosure starts for November 2011 decreased from the previous month—166,000 compared to 209,000. Completed foreclosure sales increased for the month—71,000 compared to 64,000.
Key loan modification data points for November 2011:
All loan modifications
Total modifications were approximately 84,000:
►57,000 were proprietary.
►26,877 were completed under HAMP.
Total permanent loan modifications for homeowners in 2011 are approximately 969,000:
►639,000 were proprietary
►330,303 were completed under HAMP
Proprietary loan modification characteristics (November 2011):
►Loan modifications with reduced principal and interest payments accounted for approximately 68 percent (39,000) of all proprietary modifications.
►Loan modifications with reduced principal and interest payments by 10 percent or greater accounted for approximately 66 percent (38,000) of all proprietary modifications.
►Fixed-rate modifications (initial fixed period of five years or more) accounted for approximately 83 percent (47,000) of all proprietary modifications.