Proprietary Modifications Unchanged, Foreclosure Starts Rise
Published On: October 11, 2011 Posted by: TownsRealty
Servicers completed about 56,000 proprietary permanent loan modifications in the month of August – similar to their July efforts. Most of these modifications included reduced principal and interest payments and fixed interest rates for five years or more, according to HOPE NOW data released Wednesday.
About 83 percent of proprietary modifications completed in August insured a fixed interest rate for at least five years, up from 76 percent in July.
While proprietary loan modifications remained level from July to August, foreclosure starts increased 18 percent, rising from 185,000 in July to 218,000 in August.
Completed foreclosure sales also increased for the month, rising 5 percent from 65,000 to 68,000.
The number of homeowners 60 or more days delinquent fell slightly from July to August, falling from 2.81 million to 2.80 million.