Even many of those homeowners who successfully navigated the obstacles to a mortgage modification are in trouble. At a time when the housing market is generally accepted to be in a robust recovery, the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) has issued a warning.
“SIGTARP is concerned that the number of homeowners who have re-defaulted on permanent mortgage modification under TARP’s signature housing support program, HAMP, is increasing at an alarming rate,” the Inspector General said in a new report.
After four years only 862,279 remain in a HAMP permanent modification. As of March 31, 2013, more than 312,000 homeowners have re-defaulted on their HAMP permanent modification, according to the report.Mortgage re-defaults increasing at an 'alarming rate'