-- Modifications were more than half of all solutions provided to
homeowners.
-- The number of completed foreclosure sales declined by 39 percent, from
87,000 to 53,000 in March, the lowest number since December 2007.
-- Foreclosure starts, increased from 243,000 in February to 290,000 in
March. This is the highest number of initiated foreclosure actions since
HOPE NOW began tracking data in 2007 and is a 20 percent increase from
February.
Michael Bright, HOPE NOW's chief statistician, said the sharp reduction in
completed foreclosure sales in March may have been because servicers
allowed troubled loans to be run through the HASP program. "It's too early
to say this is a trend," he said. "But anecdotal reports from servicers do
indicate that they are taking this extra step to help homeowners who
qualify stay in their homes."
HOPE NOW continues to reach borrowers through millions of letters; a new,
enhanced website at www.hopenow.com; and homeowner outreach events across
the country. HOPE NOW most recently held events in Atlanta, Miami and
Charlotte, NC. The next outreach event is scheduled for Cleveland, Ohio,
on May 7, 2009. For more information, please go to www.hopenow.com.
A summary table of the results is attached and can be found at:
http://hopenow.com/press_releases.html
ABOUT HOPE NOW
For more information about HOPE NOW, 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 - March 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-Mar
2009 ("Life
to Date")
2008 Q4 Jan-09 Feb-09 Mar-09 Totals
-------- -------- -------- -------- -----------
Repayment Plans 349,622 124,766 110,638 114,994 2,358,621
-------- -------- -------- -------- -----------
Prime 203,171 77,399 64,605 74,357 1,204,560
-------- -------- -------- -------- -----------
Subprime 146,451 47,367 46,033 40,638 1,154,062
-------- -------- -------- -------- -----------
Modifications 322,105 123,409 133,836 133,910 1,566,254
-------- -------- -------- -------- -----------
Prime 91,880 34,669 42,503 44,157 454,410
-------- -------- -------- -------- -----------
Subprime 230,225 88,740 91,333 89,753 1,111,844
-------- -------- -------- -------- -----------
Workout Plans 671,728 248,175 244,474 248,904 3,924,875
-------- -------- -------- -------- -----------
Prime 295,051 112,069 107,108 118,513 1,658,969
-------- -------- -------- -------- -----------
Subprime 376,677 136,106 137,366 130,391 2,265,906
-------- -------- -------- -------- -----------
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-Mar
2009 ("Life
to Date")
2008 Q4 Jan-09 Feb-09 Mar-09 Totals
-------- -------- -------- -------- -----------
Foreclosure Sales 204,943 68,114 87,346 52,822 1,447,866
-------- -------- -------- -------- -----------
Prime 101,230 30,413 55,530 27,673 662,758
-------- -------- -------- -------- -----------
Subprime 103,713 37,700 31,816 25,149 785,108
-------- -------- -------- -------- -----------
(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