-- Modifications were more than half of all solutions provided to
homeowners
-- The number of foreclosures started in February increased from 217,000
in January to 243,000
-- Completed foreclosure sales increased from 68,000 in January to 87,000
in February
"Currently 5.5 percent of the total mortgage market is 60 days or more
delinquent," Schwartz said. "Because of this, HOPE NOW members are working
hard to help the administration implement its recently-announced
foreclosure prevention initiative as well as working on additional ways we
can be more efficient in helping at-risk homeowners." HOPE NOW continues
to reach borrowers through millions of letters, a new, enhanced website at
www.hopenow.com, and through homeowner outreach events across the country.
For more information, please go to www.hopenow.com.
HOPE NOW collects data each month from 26 institutions. That means that
the information is comprehensive and provides an excellent picture of what
is happening in the mortgage lending industry as a whole.
A summary table of the results is attached and can be found at
http://hopenow.com/press_releases.html
ABOUT HOPE NOW
HOPE NOW is the alliance of mortgage market participants, mortgage
servicers, and counselors that is working to help as many homeowners as
possible avoid foreclosure and stay in their homes. For more information,
including a full list of members, go to www.hopenow.com
HOPE NOW coordinates a nationwide campaign to reach homeowners who may be
at risk of losing their homes. HOPE NOW members have agreed to make
substantial additional efforts to contact homeowners whose mortgages will
reset in the coming months and to further expedite the process used to
determine how best to keep them in their homes.
The Homeownership Preservation Foundation, a HOPE NOW member, created and
operates the Homeowner's HOPE™ Hotline, which is available 24 hours a
day, 7 days a week, and 365 days a year. The Homeowner's HOPE™ Hotline
received 1.1 million calls in 2008. There is no cost to homeowners for
contacting a nonprofit counselor by calling 1-888-995-HOPE.
WORKOUT PLANS (Repayment Plans + Modifications) and
FORECLOSURE SALES
July 2007 - February 2009
BORROWER LOAN WORKOUT PLANS
2007 Q3 2007 Q4 2008 Q1 2008 Q2 2008 Q3
-------- -------- -------- -------- --------
Repayment Plans 357,900 348,531 314,453 302,565 335,152
-------- -------- -------- -------- --------
Prime 154,383 160,127 148,814 141,840 179,864
-------- -------- -------- -------- --------
Subprime 203,517 188,404 165,639 160,725 155,288
-------- -------- -------- -------- --------
Modifications 72,773 133,467 170,216 220,349 256,188
-------- -------- -------- -------- --------
Prime 29,714 36,634 48,148 56,202 70,503
-------- -------- -------- -------- --------
Subprime 43,058 96,833 122,068 164,147 185,685
-------- -------- -------- -------- --------
Workout Plans 430,673 481,998 484,669 522,914 591,340
-------- -------- -------- -------- --------
Prime 184,097 196,761 196,961 198,042 250,367
-------- -------- -------- -------- --------
Subprime 246,575 285,237 287,708 324,872 340,973
-------- -------- -------- -------- --------
July
2007-Feb
2009 ("Life
to Date")
2008 Q4 Jan-09 Feb-09 Totals
-------- -------- -------- -----------
Repayment Plans 349,622 124,766 110,638 2,243,627
-------- -------- -------- -----------
Prime 203,171 77,399 64,605 1,130,203
-------- -------- -------- -----------
Subprime 146,451 47,367 46,033 1,113,424
-------- -------- -------- -----------
Modifications 322,105 123,409 133,836 1,432,344
-------- -------- -------- -----------
Prime 91,880 34,669 42,503 410,253
-------- -------- -------- -----------
Subprime 230,225 88,740 91,333 1,022,091
-------- -------- -------- -----------
Workout Plans 671,728 248,175 244,474 3,675,971
-------- -------- -------- -----------
Prime 295,051 112,069 107,108 1,540,456
-------- -------- -------- -----------
Subprime 376,677 136,106 137,366 2,135,515
-------- -------- -------- -----------
FORECLOSURE SALES
2007 Q3 2007 Q4 2008 Q1 2008 Q2 2008 Q3
-------- -------- -------- -------- --------
Foreclosure Sales 153,408 168,213 203,503 246,192 263,326
-------- -------- -------- -------- --------
Prime 60,699 64,958 83,352 108,202 130,700
-------- -------- -------- -------- --------
Subprime 92,709 103,255 120,151 137,990 132,626
-------- -------- -------- -------- --------
July
2007-Feb
2009 ("Life
to Date")
2008 Q4 Jan-09 Feb-09 Totals
-------- -------- -------- -----------
Foreclosure Sales 204,943 68,114 87,346 1,395,044
-------- -------- -------- -----------
Prime 101,230 30,413 55,530 635,085
-------- -------- -------- -----------
Subprime 103,713 37,700 31,816 759,959
-------- -------- -------- -----------
(Workout Plans = Repayment Plans + Modifications)
Repayment Plans: A plan that allows the borrower to become current and
catch up on missed payments that are appropriate to the
borrower’s circumstances, which involves deferring or
rescheduling payments but the full amount of the loan
is expected ultimately to be paid and within the
original contractual maturity of the loan.
Modifications: A modification occurs any time any term of the original
loan contract is permanently altered. This can involve a
reduction in the interest rate, forgiveness of a portion
of principal or extension of the maturity date of the loan.
Contact Information: MEDIA: Kara Ross 202-683-3117 Kate McGann 202-683-3143 Homeowner Questions: 1-888-995-HOPE