Last week, the Obama Administration released its third monthly Servicer Performance Report, detailing the progress of the Making Home Affordable loan modification program (“MHA Program”). The purpose of the report is to provide transparency and information about the number of homeowners that have been assisted under the MHA Program and make available information regarding servicer performance. Today’s report highlights the progress made through September 2009. In pertinent part, the report showed the following changes since the last report:
- Servicer loan modifications rose from 360,165 to 487,081;
- Trial loan modifications rose from 571,354 to 757,955; and
- Total number of eligible loans started rose from 12 percent to 16 percent.
Treasury also announced that it has reached its goal of initiating 500,000 trial loan modifications ahead of its November 1 target date. This achievement comes amid disappointment that the MHA Program has not done enough to assist homeowners at risk of foreclosure. To improve the MHA Program, senior Treasury and HUD officials held a series of meetings with servicers with “discussions focused on improving servicer efficiency and responsiveness to borrowers during the modification process.”