More than 40% have left Obama's mortgage aid program.
A home for sale is posted at a reduced price in Palo Alto, Calif.According to CNN Money, around 51,205 homeowners received long-term mortgage modifications in June under the foreclosure prevention program created by President Obama, bringing the total of people helped since the beginning of the program to 389,198. The program began in spring of 2009.
There have been over 520,814 people who have had their trial modifications canceled, according to figures released Tuesday, leaving 364,077 borrowers in the initial phase of the program.
Homeowners are usually taken out of the trial program because they do not make the required payments, meet qualifications or do the necessary paperwork.
But the June figures, released by the administration Tuesday, also showed that a total of 520,814 have had their trial modifications canceled, leaving only 364,077 borrowers in the initial phase of the program.
CNN Money reports that “of the 91,118 trials canceled in June, more than 60% had been in the trial period for six months or longer.”
Around 38,728 people entered trial modifications in June. Of those homeowners, 8,823 had their permanent modifications canceled. 195 of those homeowners who had the modifications canceled paid their loans off.
»CNN Money: 400,000 receive mortgage help from Obama plan