WASHINGTON - The U.S.
Department of Housing and Urban Development (HUD) and the U.S. Department of the
Treasury today released the June edition of the Obama Administration’s Housing
Scorecard – a comprehensive report on the nation’s housing market. Data in the June
Housing Scorecard show some promising signs of stability, though the overall
outlook remains mixed. Home equity rose $457.1 billion in the first quarter of
2012, a 7.4 percent increase from the previous quarter and its highest level
since the second quarter of 2010. Sales of previously owned homes posted sharp
gains in May of 9.6 percent compared with a year ago and new home sales in May
recorded their highest level in more than 2 years. However, foreclosure starts
and completions turned up in May, underscoring continued fragility in the
housing market. The full report is available online at www.hud.gov/scorecard.
HUD
Acting Assistant Secretary Erika Poethig said, “We’re making important progress
in providing relief to homeowners under the Obama Administration’s programs.
With almost half a million families taking advantage of our enhanced Home
Affordable Refinance Program – standing to save on average $2,500 per year – and
more than 51,000 applications for the FHA Streamline Refinance Program in the
first ten days alone, it’s clear that the Administration’s efforts continue to
provide significant positive benefits.” Poethig continued, “But with so many
homeowners still underwater on their mortgages and struggling to move into more
sustainable loans, we have much more work ahead. That is why we are asking the
Congress to approve the President’s refinancing proposal so that more
homeowners can receive assistance.”
“Millions
of homeowners across the country have received assistance to avoid foreclosure
as a result of the programs the Administration has put into place,” said
Assistant Secretary for Financial Stability Tim Massad. “Recognizing that there is not one solution for
every struggling family, we have continued to strengthen and expand our efforts
to offer some of the most affordable and sustainable assistance available in an
unprecedented housing crisis.”
The
June Housing Scorecard features key data on the health of the housing market
and the impact of the Administration’s foreclosure prevention programs,
including:
The
Administration’s recovery efforts continue to help millions of families deal
with the worst economic crisis since the Great Depression. More than 5.3 million modification
arrangements were started between April 2009 and the end of May 2012 –
including nearly 1.2 million homeowner assistance actions through the Making
Home Affordable Program and more than 1.3 million FHA loss mitigation and early
delinquency interventions. The Administration’s programs continue to encourage improved
standards and processes in the industry, with HOPE Now lenders offering
families and individuals more than 2.9 million proprietary mortgage
modifications through April.
Homeowners
entering HAMP demonstrate a high likelihood of long-term success in the
program. As of May, more than one million homeowners have received a permanent
HAMP modification, saving approximately $536 on their mortgage payments each
month, and an estimated $13.3 billion to date. Eighty-six percent of
homeowners entering the program in the last 23 months have received a permanent
modification, with an average trial period of 3.5 months. More than 83,000
homeowners have had their principal reduced as part of their HAMP permanent
modification, and nearly 84,000 second lien modifications have been completed
through the Second Lien Modification Program (2MP). View
the Making Home Affordable Program Report with data through May 2012.
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