For the first time, more than 10,000 homeowners in Colorado are enrolled in the permanent part of the Obama Administration’s key program for keeping people out of foreclosure.
At the end of October, there were 10,104 people in Colorado enrolled in the “permanent modification” stage of the Home Affordable Modification Program. That is an increase of 187 homeowners from October. It also is a 47 percent increase in the number of homeowners that have received permanent modifications since October 2010, when the number stood at 6,885.
Colorado is ranked No. 19th in the country for the number of homeowners who are in the permanent modification part of HAMP, which typically dramatically lowers the interest rate on loans.
Nationally, the lower rates have resulted in a median monthly savings of $527. All told, homeowners have saved more than $9.4 billion in monthly mortgage payments since the program began in July 2009, even though it has not helped nearly as many home owners as first projected.
The Obama Administration hoped it would help three to four million homeowners. So far, 883,076 permanent modifications have been started.
Colorado accounts for 1.4 percent of all HAMP activity.
In October, 1,065 homeowners in Colorado were accepted into the required “active trial” part of the program, a new low.
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Contact John Rebchook at JRCHOOK@gmail.com
This is one reason the inventory levels have fallen so much. Good news is, these people can stay in their homes, bad news is, if they need or want to move, they are stuck in their homes.