HAMP: About Two-Thirds of Eligible Trial Mods Declined for Permanent

Calculated Risk:

From Treasury: Administration Releases February Loan Modification Report

Click on graph for larger image HAMP in new window.

Over 168,000 modifications are now permanent. 88,663 trial modificatons have been cancelled (and another 1,499 permanent mods cancelled).

Here is the report. See here for a list of reports.

Lets see: there were 553,051 cumulative HAMP trial modifications in September. There are 168,708 permanent mods – and about 90,000 cancelled. What happened to the 300 thousand or so other trial mods? Sure another 91,800 have been “approved” for a permanent modification, but that still leaves a huge number missing.

There is a note in the report that says “32% of trials started at least three month ago have been approved for converstion to permanent”. But what about the over two-thirds?

HAMP

The second graph shows the cumulative HAMP trial programs started.

Notice that the pace of new trial modifications has slowed sharply from over 150,000 in Septmenber to just over 70,000 in February 2010. This is slowest pace since May 2009 and is probably because of two factors: 1) servicers are now pre-qualifying borrowers, and 2) servicers are running out of eligible borrowers.

4closureFraud

Comments
One Response to “HAMP: About Two-Thirds of Eligible Trial Mods Declined for Permanent”
  1. jeff sull says:

    I OWE 40 k on my house and make 25k per yr on ssdi with monthly pymts aroround 2200. Bac told me that I have 2 modifications w/i 5 yrs and do not qualify. I did have a first nodification 4-5 yrs ago before the Obama plan but they claim I have a second modification which I was never offered in 2009. They on the ph put me on a trial pymt but never explained anything to me and I was never offered a modification as I signed nothing and received no documents. They took one pymt from my checking acct but never took any others and never explained the procedure to me. They never offered me a modification so i should qualify. i spoke to a nice spv the other day who is looking into it but i only had one mod. i was never sent papers with trial pymts or anything. i feel i should be offered a modification b/c essentially bac was at fault and i do qualify. can you help me.
    thx

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