Industry Modified 134,000 Mortgages In March

Members of the HOPE NOW alliance and the larger mortgage lending industry provided 249,000 homeowner solutions through modifications and repayment plans in March. Modifications were done on 134,000 mortgages during March, the second consecutive month this many modifications have been completed, according to HOPE NOW data. Since September 2008 the industry averaged 116,000 modifications per month. There were 115,000 repayment plans created in March, up slightly from February. The number of completed foreclosure sales declined by 39%, from 87,000 to 53,000 in March, the lowest number since December 2007. Foreclosure starts increased 20%, from 243,000 in February to 290,000 in March. 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 Obama administration's Homeowner Affordability and Stability Plan. "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."