The administration of Obama said that the program is going to give help to over 4 million homeowners for them to make loan modifications. According to the Treasury Department, over 200,000 of these loan modifications are offered to date. This will just signify that millions of people are still hanging around for their turn. This could also mean that if these trouble homeowners are not reached on time, more foreclosure news will be heard.

One of the many homeowners who waited for the loan modification was Deborah Sherman. She applied for the government program in March 4, a day after it was announced.

From that day, she always hears her loan servicer or Chase that the program she applied for will cover up to 90 days processing so she is still waiting for her turn up to now.

The experience of Sherman was also experienced by most other people. Back in June, the program started in a chaotically as a multitude of homeowners all across the country jammed phone lines, overwhelming the staff. Frustration among housing counselors and homeowners build up due to the delays and confusion about eligibility requirements.

“I think … our mortgage program has actually helped to modify mortgages for a lot of people, but it hasn’t been keeping pace with all the foreclosures that are taking place,” said President Obama during a recent press briefing, expressing his disappointment with the program. Because of that reason and due to the fact that a lot of complaints from the home owners are already attacking him, he was asking his staff to put into practice more forceful actions.

Congressional Oversight Panel’s Chairwoman Elizabeth Warren echoed the remarks of the president at a current congressional hearing. The answer of the Treasury Department with regards to financial crisis has supervised by Chairwoman Warren. She also said that the program set off for a couple of weeks and they are now taking fast actions on it.

“I think it’s important that the public realize they don’t have to have missed a payment on their mortgage to get help. If they see that they have a problem … they should get in touch with their servicer” says Warren.

Numerous homeowners who had applied for the modification of loan also get similar response like Sherman. Their respective servicers also said that the process will take longer time than expected. As the processing time of these modification requests get longer and longer, most trouble homeowners result to giving up and making foreclosure news rise.

Frustrations towards the program were expressed also by several federal officials. They said, “People who are engaged in this program must need to perform better job so that expectations of the public will be met.”

As long as these needs for loan modifications are met, we may expect to hear more foreclosure news as more and more troubled homeowners fail to salvage their properties.

More information on ms foreclosures and foreclosures in general (often miss-spelled 'forecloser') can be found at http://bestforeclosurenews.com.

Filed under: Real Estate Articles

Like this post? Subscribe to my RSS feed and get loads more!