The mortgage industry completed 411,000 loan modifications in the second quarter that did not involve a foreclosure, a 7% decline from the previous quarter, according to the Hope Now organization.
The quarterly total included 113,000 permanent loan modifications and 24,000 short sales in the quarter, Hope Now said. The rest was comprised of other types of modifications, including repayment plans, deeds-in-lieu, retention plans and liquidation plans.
The second-quarter figure of 113,000 modifications fell 2% from the previous quarter.
Since 2007, the industry has completed 24 million workout plans and 6 million proprietary loan modifications. Nonforeclosure modifications are outpacing the rate of completed foreclosures, Eric Selk, Hope Now's executive director, said in a news release.
"Millions of families are receiving the help they need to avoid foreclosure," Selk said.
Hope Now is an industry association of mortgage servicers, investors, counselors and other mortgage market participants. It was organized by the Financial Services Roundtable, Housing Policy Council and Mortgage Bankers Association.
