The Hope Now alliance reported yesterday that loan modification activity fell again on a monthly basis, but there are still several states where borrowers need assistance, NationalMortgageNews.com reported. Hope Now said that total nonforeclosure solutions, including loan modifications, short sales, deeds-in-lieu and workout plans, in May added up to 112,000. Conversely, there were only 25,000 foreclosure sales for the month, down 12% from June. Foreclosure starts dropped 5 percent month-over-month to 51,000. There were roughly 35,000 permanent loan modifications during the month, down 17 percent month-over-month but up 3 percent year-over-year. Of these modifications, 23,000 were made via proprietary programs, while more than 12,000 were completed through the Home Affordable Mortgage Program. Short sales fell 10 percent from June to 5,700, while deeds-in-lieu similarly decreased 16 percent to 1,400.
