Out of an estimated 2,705,302 sixty plus day delinquent loans currently eligible for modification under the government’s Home Affordable Modification Program (HAMP), offers for 406,542 trial modifications have been extended (15%) and 235,247 modifications have been started (9%) over the past five months.
∙ Making Home Affordable Program Report: August 4, 2009 [treas.gov]
So, 9% of the delinquent loans have been modified, and it took FIVE months. 91% of th delinquents are living rent free, courtesy of the taxpayers. Anyone continuing to pay on an underwater house is a total fool.
Interesting news, I was just thinking that the banks must be under more pressure to make mortgage mods: I just found out this morning that my own application for modification was suddenly approved after being rejected several months ago. The new loan terms are 5% fixed P+I on a $680,000 loan.
Our house is not underwater and we are not behind in payments. We just figured we would try for our share of government cheese and “adjusted” our income south for a couple of months – it worked and now our mortgage payments are ridiculously low.
First we had liar loans and now we have liar loan adjustments.
anon2, way to be another freeloading american. i love carrying you freeloaders on my back
Lol, I make NO apologies for getting my slice of guvment cheese… Obambie and his cronies gave billions, no TRILLIONS in handouts to industries, biz’s and debt-ridden losers that should have gone bankrupt or failed. The system has been gamed and if u don’t see that, and if you can don’t play that, u’re an idiot. Just ask LMRIM lol. In the meantime, I’ll laugh along with anyone else w/ half a brain all the way to the bank on my pile of cash and total PITI that’s about 2/3 the cost of a smilar RENTED unit. All on a unit that we bought 10 years ago with a nice chunk of equity, AND EVEN MORE SO SINCE THEY’RE ACTUALLY PAYING DOWN OUR MORTGAGE FOR US, ALL IN THE SAME AMORTIZATION PERIOD, 20 YEARS LEFT BABY! HAHHAHAHAHAHAHAHAHAH!
Troll!
Oh, and “TRILLIONS”? Obviously, you have no idea what you are talking about. Another right-wing troll uses a commentary as outlet for impotence.
anon2 might be trolling, but if what he says is true I’ve got ZERO problem with that. The gooberment sets up the system (in conjunction with the banksters), and we all operate within it. There’s no issue of morals here – just dollars and cents and who plays the game better. Best of luck, anon2!
I’ve got a family member back east who cashed out MORE than the entire value of the house he purchased in 2001, and in the end (with a little planning and advice) I am pretty confident that he is literally going to be GIVEN in excess of $500K cash – in essence by the taxpayers. I think that’s great – hey, in the ObamaNation it’s anything goes.
LMRiM, anon2: you guys are beyond pathetic
what i’m reading here confirms something a good friend of mine, who is a mortgage consultant at wells fargo, told me recently about mortgage modifications. he said that the only people who are actually receiving them don’t really need them. the folks who could be helped are being turned down. so it seems to be a case of those not in need taking advantage (playing by the rules, apparently) and those who could be assisted are being ignored by the very program designed to stabilize their situation. i realize this is anecdotal, but it is kind of depressing.
2bits,
Everything happens according to laws of unintended consequences.
1 – Identify problem
2 – Swat the effects with overwhelming power without addressing the source of the problem
3 – Get a short period where everything looks fine and dandy
4 – Get hit with a bigger problem
5 – Start over to #1
Our original problem was the tech bubble. Instead of letting the economy correct for ~2 years shedding deadweight created by the tech bubble, we went on and created another bubble that dwarfed the first one. The RE bubble is now tentatively replaced with a Gov’t bubble with the usual clumsiness and inefficiencies of an entity that wasn’t designed for that. And they’re throwing bigger and bigger debt at it while revenue collapses!
You’ll hear more of these legal scams in the next few years. Banks are doing record profits (WTF?), people supposed to get help do not receive it while smart people play the game. And much more insanity that will be unheard of as all this bubble-dwarfing gets bigger and bigger.
No need to be depressed about it. Better enjoy the show! Hey, you’re paying for it!
– and you’ll still be paying for it when the cheats end up in jail.
My husband just got laid off. We will lose our house in a few months. do we qualify?