Loan Modifications Update: The Spin and the Truth

Loan Modifications are going through an interesting stage. Enormous efforts are being made to save homes from foreclosure, and while some results seem to be made, millions are still heading straight to a foreclosure. The government has increased the pressure on loan servicers and lender, and relaxed the requirements for a HAMP modification. What have been the results? Is there any good news to share? This short article will look into the good news, and the bad, of loan modifications at the end of March 2010, and try and separate the spin (a.k.a propaganda) from the real news. The Spin: There has been a 45% increase in the number of permanent loan modifications in February 2010, according to HAMP. The Truth: The total number of permanent loan modifications is still only around 170,000 loan