Nearly 50 percent leave!!!
While the article is short, the message is very clear. Martin Crutsinger from the Associated Press reports that nearly HALF of all people that entered into Obama’s loan modification program are no longer part of it. Over 630,000 people have been “cut loose” from the program since it started in March 2009. One might say…well that means that 50% of the people in the program re still in it. While this may be true, a staggering 60% of these people will default on their modified loans within 6 months of receiving the modification!
Nearly 50 percent leave Obama mortgage-aid program
By Martin Crutsinger (AP)
WASHINGTON — Nearly half of homeowners seeking help from the Obama administration’s flagship effort to help those at risk of foreclosure have fallen out of the program.
A new report from the Treasury Department says approximately 630,000 people who had tried to get their mortgages modified through the program have been cut loose through July. That’s about 48 percent of the 1.3 million homeowners who had enrolled since March 2009.
That’s up from more than 40 percent through June.
The report suggests foreclosures could rise in the second half of the year and weaken the ailing housing market.