Hope Now servicers have seen a dramatic decline in foreclosure starts this year but they are still dealing with a persistently high number of delinquent single-family loans.
The servicers ended October with over 2 million in loans that are 60 days or more past due, down 20% from a year ago.
In the third quarter there were 290,100 foreclosure starts, down 42% from 3Q 2012, according to the latest Hope Now report.
The total number of loan modifications for 2013 (as of Oct. 30) currently stands at approximately 680,000. This compares to approximately 545,000 foreclosure sales, the servicer alliance says.
Yet the pace of loan modifications slowed during the first three quarters of 2013.
During the third quarter, nearly 181,250 borrowers received a loan modification, down 26% from 4Q 2012.
The servicers completed nearly 50,000 loan modifications in October including 16,400 HAMP mods.
The Hope Now servicer alliance was created over six years ago to address the foreclosure crisis.
“The collaboration of so many companies and organizations, through early intervention and outreach at the first signs of delinquency, has allowed the industry to achieve close to seven million loan modifications since 2007,” says Eric Selk, the Hope Now executive director.
“We have already begun to schedule more of our signature face-to-face borrower events for 2014,” he says. Hope Now is also working on a “next generation of virtual events that will allow borrowers to connect with mortgage servicers and housing counselors from the comfort of their living rooms,” Selk says.