Proprietary loan modifications – i.e., modifications that do not fall under the Home Affordable Modification Program (HAMP) – totaled close to 99,500 in January, according to HOPE NOW's estimates.
Combined with Treasury Department data that showed 50,364 HAMP modifications for January, the total number of loan modifications for the month was close to 150,000, with proprietary mods outnumbering HAMP mods almost two to one.
HOPE NOW, which recently retooled its data reporting to focus on servicers' in-house modification programs, says 74% of the proprietary modifications done in January involved reductions of principal and interest payments.
"The new survey data expansion has taken several months to implement, and we are in the process of receiving, analyzing and reporting the new data results," says HOPE NOW Executive Director Faith Schwartz. "While Treasury and other government-sponsored programs have garnered much attention, much of the servicers' hard work has gone unnoticed. Our new data set is proof that the industry continues to aggressively find solutions for borrowers facing default."
SOURCE: HOPE NOW