FOR IMMEDIATE RELEASE: June 21, 2010

Contacts:
HUD Public Affairs, (202) 708-0980
Treasury Public Affairs, (202) 622-2960

OBAMA ADMINISTRATION INTRODUCES

MONTHLY HOUSING SCORECARD

IMPACT OF ADMINISTRATION EFFORTS SEEN IN SIGNS OF HOUSE PRICE

STABILIZATION AND INCREASED AFFORDABILITY

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) and the
U.S. Department of the Treasury today introduced a monthly scorecard on the nation’s housing
market. Each month, the scorecard will incorporate key housing market indicators and highlight
the impact of the Administration’s unprecedented housing recovery efforts, including assistance
to homeowners through the Federal Housing Administration (FHA) and the Home Affordable
Modification Program (HAMP). This scorecard contains key data on the health of the housing
market including:
• After 30 straight months of decline and an expectation of continued nearly 14 percent
decline, home prices leveled off in the past year and expectations have adjusted upward
• Mortgages are more affordable: due to historically low interest rates, more than 6 million
homeowners have refinanced, saving an estimated $150 per month on average and more
than $11 billion in total. And more than 2.5 million families have purchased a home
using the First-Time Homebuyer Tax Credit.
• Servicers report that the number of homeowners receiving restructured mortgages since
April 2009 has increased to 2.8 million. Additionally, nearly half of homeowners unable
to enter a HAMP permanent modification enter an alternative modification with their
servicer, and fewer than 10 percent of cancelled trials move to foreclosure sale.
• However, the foreclosure prevention initiatives are not intended to help all borrowers and
the market will continue to adjust for some time. The supply of homes on and off market
remains near all-time highs. It will take time to work though this large inventory.

“We already know that due to the Obama Administration’s efforts, the housing market is
significantly better than anyone predicted a year ago,” said HUD Secretary Shaun
Donovan. “This scorecard will allow the American people to monitor the Administration’s
efforts to strengthen the housing market on a monthly basis and hold the government and
industry accountable. Demonstrating the progress in the housing market due to the
Administration’s policies, this month’s report provides a broad set of indicators showing
encouraging signs of recovery.”

“The Administration’s housing policies, combined with actions of the Fed, have lowered
mortgage interest rates, helped stabilize home prices and reduced the rate of foreclosures,
repairing some of the damage caused by the financial crisis to the financial security of millions
and millions of American families,” said Treasury Secretary Tim Geithner. “ And the
Administration’s loan modification programs have given more than a million responsible
homeowners a chance to stay in their homes. We are going to keep working to help the
Americans hardest hit by this crisis, and as we do we will make sure we are careful stewards of
the scarce resources of the American taxpayer.”


The Administration’s goal is to promote stability for both the housing market and homeowners.
To meet these objectives, the Administration developed a broad based approach including state
and local housing agency initiatives, tax credits for homebuyers, neighborhood stabilization and
community development programs, mortgage modifications and refinancings, and support for
Fannie Mae and Freddie Mac. These efforts build on Federal Reserve and Treasury mortgage
backed securities purchase programs that have helped to keep mortgage interest rates to record
lows over the past year.

These initiatives have resulted in measurable progress, particularly in affordability of mortgage

credit across the market. Low interest rates have helped more than 6 million families refinance,
resulting in more stable home prices and $11 billion in total borrower savings. More than 2.5
million Americans purchased a home using the First-Time Homebuyer Tax Credit, helping to
further stabilize home prices.

At the same time, FHA has helped maintain affordability by playing an important backstop role,
stepping in to support home purchase and refinance activity at a time when private capital was
fleeing the mortgage market. In addition, the FHA helped nearly 400,000 homeowners stay in
their homes since April 2009 through FHA loss mitigation efforts, which include modification
options. While providing access to affordable mortgage capital and helping homeowners prevent
foreclosures, the FHA has also taken unprecedented administrative and regulatory steps to
improve risk management and has pursued essential reforms to strengthen its finances.

Servicers report that the number of homeowners receiving restructured mortgages since April
2009 has increased to 2.8 million. This includes more than 1.2 million homeowners who have
started HAMP trial modifications and nearly 400,000 who have benefitted from FHA loss
mitigation activities. Of those in the HAMP program, 346,000 have entered a permanent
modification saving a median of more than $500 per month.

The housing scorecard now incorporates the monthly Making Home Affordable Program
Servicer Performance Report, including HAMP modification data that once again shows a
month-over-month increase in permanent modifications, with average growth of roughly 50,000
permanent modifications per month over the last four months. Servicer data indicates close to
half of the homeowners in HAMP trial modifications who were ultimately ineligible for a HAMP
permanent modification were offered an alternative modification and less than 10 percent move
to foreclosure sale In addition to the modifications through HAMP, servicers have adopted the
HAMP guidelines as an industry standard and are now initiating their own modification
agreements incorporating many of the HAMP affordability principles. . Homeowners who
cannot afford a modified payment under HAMP may also be eligible for the Administration’s
Foreclosure Alternatives Program, to help relocate to more affordable housing that is sustainable
over the long term.

The housing scorecard details new reporting on both the scope of Treasury’s compliance
activities and the areas of focus for compliance reviews under HAMP. Compliance activities
include on-site reviews, file reviews and reviews of net present value (NPV) model applications.
Also included are the first-ever results of compliance-related “second look” reviews of select
servicers to ensure that potentially eligible borrowers were solicited and properly evaluated for
HAMP. Treasury’s compliance activities will lead to improvements in servicer performance and
process improvements designed to minimize the likelihood that borrower applications are
overlooked or that applicants are inadvertently denied a modification.

Complete Housing Scorecard available at: www.hud.gov/scorecard

###
 U.S Department of Housing and Urban Development
U.S. Department of the Treasury
The Obama Administration’s Efforts To Stabilize
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The Obama Administration’s Housing
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Stabilize The Housing Market and Help American Homeowners
U.S. Department of Housing and Urban Development | Office of Policy Development and Research
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The Administration’s goal is to promote stability for both the
housing market and homeowners. To meet these objectives, the
Administration developed a broad approach implementing state
and local housing agency initiatives, tax credits for homebuyers,
neighborhood stabilization and community development
programs, mortgage modifications and refinancing, continued
FHA engagement, and support for Fannie Mae and Freddie
Mac. In addition, Federal Reserve and Treasury MBS purchase
programs have helped to keep mortgage interest rates at record
lows over the past year. More detail on the Administration’s
efforts can be found in the Appendix.
Overall Impact of Administration’s
Comprehensive Housing Initiative
The President’s housing market recovery efforts began
immediately after taking office in February 2009. The
Administration’s comprehensive response, as outlined above,
has yielded many positive impacts:
• Home price performance has improved. After 30 straight
months of decline and an expectation of continued
significant deterioration, home prices have leveled off in
the past year and expectations have adjusted upward.
Homeowners have benefitted from the stabilization, as
owner equity has increased by over $1 trillion since the first
quarter of 2009
• More than 2.5 million first time homebuyers have purchased
a home using the First-Time Homebuyer Tax credit,
helping to stabilize home sales and prices and increase
affordability.
• Martgages are now more affordable. Due to historically
low interest rates, more than 6 million homeowners have
refinanced, saving an estimated $150 per month on
overage and more than $11 billion in total.
| Office
of Policy
| U.S. Development
Department of the and Research
Treasury
• Servicers report that the number of homeowners receiving
restructured mortgages since April 2009 has increased
to 2.8 million. This includes more than 1.2 million
homeowners who have started HAMP trial modifications
and nearly 400,000 who have benefitted from FHA loss
mitigation activities. Of those in the HAMP program,
346,000 have entered a permanent modification saving a
median of more than $500 per month. In addition, HUD-
approved mortgage counselors have assisted 3.6 million
families.
• Based on newly available survey data, nearly half
of homeowners unable to enter a HAMP permanent
modification enter an alternative modification with their
servicer, and fewer than 10 percent of cancelled trials move
to foreclosure sale. Link to see MHA report: http://www.
financialstability.gov/docs/May%20MHA%20Public%20
062110.pdf
The Administration’s housing initiatives were intended to help
prevent avoidable foreclosures and stabilize the housing market.
However the foreclosure prevention initiatives were not designed
to help every borrower and the housing market will continue to
adjust for some time.
• Investors and speculators are not protected under the
Administration’s efforts, nor are Americans living in million
dollar homes, defaulters on vacation homes, or those who
don’t meet their responsibilities for qualification. This month,
HAMP cancellations are high because many borrowers
who received temporary modifications were not able to
meet eligibility requirements such verifying their income and
successfully making trial payments.
• The supply of homes on and off market remains near all-time
highs. It will take time to work through this large inventory.
U.S Department of Housing and Urban Development
U.S. Department of the Treasury

The Obama U.S.

Administration’s Effortsand
Department of Housing ToUrban
Stabilize The Housing
Development Market
| Office of and Help American
Policy Development and ResearchHomeowners
U.S Department of Housing and Urban Development
U.S. Department of the Treasury

The Obama U.S.

Administration’s Effortsand
Department of Housing ToUrban
Stabilize The Housing
Development Market
| Office of and Help American
Policy Development and ResearchHomeowners

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U.S Department of Housing and Urban Development
U.S. Department of the Treasury

The Obama U.S.

Administration’s Effortsand
Department of Housing ToUrban
Stabilize The Housing
Development Market
| Office of and Help American
Policy Development and ResearchHomeowners

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U.S Department of Housing and Urban Development
U.S. Department of the Treasury

The Obama U.S.

Administration’s Effortsand
Department of Housing ToUrban
Stabilize The Housing
Development Market
| Office of and Help American
Policy Development and ResearchHomeowners

HOUSING ASSISTANCE AND STABILIZATION PERFORMANCE METRICS

Last Cumulative From

Indicator This Period Latest Release Sources
Period Apr 1, 2009
Distressed Borrowers Assisted (thousands)
HAMP Trial Modifications 30.1 37.0 1,244.2 May-10 Treasury
HAMP Permanent Modifications 47.7 68.1 346.8 May-10 Treasury
FHA Loss Mitigation Interventions 25.2 25.2 383.5 May-10 HUD
HOPE Now Modifications 104.3 114.9 1,211.8 April-10 Hope Now Alliance
Counseled Borrowers (thousands) 839.4 1,075.6 3,558 1st Q 10 HUD
Borrower Annual Savings ($ millions)
HAMP Trial Modifications -- -- 6,095.9 1st Q 10 Treasury, Freddie Mac, and HUD
HAMP Permanent Modifications -- -- 1,401.4 1st Q 10 Treasury and HUD
All Refinances (Including GSEs and FHA) -- -- 10,918.9 1st Q 10 MBA, Treasury, and HUD
Change in Aggregate Home Equity
($ billions) 28.6 97.3 1,079.4 1st Q 10 Federal Reserve Board

Housing Market Fact Sheet

Latest
Indicator This Period Last Period Year Ago As of Dec 08 Sources
Release
Mortgage Rates (30-Yr FRM, percent) 4.75 4.72 5.38 5.1 17-Jun-10 Freddie Mac
Home Prices (indices)
Case Shiller (NSA) 143.4 144.1 140.1 150.5 March-10 Standard and Poor’s
FHFA (SA) 193.9 193.4 198.3 199.0 March-10 Federal Housing Finance Agency
Home Sales (thousands, SA)
New 42.0 36.6 28.4 31.4 April-10 HUD and Census Bureau
Existing 480.8 446.7 391.7 395.0 April-10 National Association of Realtors ®
First Time Buyers 245.7 227.2 197.4 174.8 April-10 NAR, Census Bureau, and HUD
Housing Supply
Existing Homes for Sale (thousands, SA) 4,044.0 3,626.0 3,937.0 3,700.0 April-10 National Association of Realtors ®
Existing Homes - Months’ Supply (months) 8.4 8.1 10.1 9.4 April-10 National Association of Realtors ®
New Homes for Sale (thousands, SA) 211.0 227.0 300.0 353.0 April-10 HUD and Census Bureau
New Homes for Sale - Months’ Supply (months) 5.0 6.2 10.6 11.2 April-10 HUD and Census Bureau
Vacant Units Held Off Market (thousands) 3,628.0 3,497.0 3,527.0 3,508.0 1st Q 10 Census Bureau
Mortgage Originations (thousands)
Refinance Originations 1,165.0 1,610.5 1,309.1 767.2 1st Q 10 Mortgage Bankers Association and HUD
Purchase Originations 725.0 978.6 625.1 986.4 1st Q 10 Mortgage Bankers Association and HUD
FHA Originations (thousands)
Refinance Originations Purchase 21.6 (p) 33.4 92.7 62.9 May-10 HUD
Purchase Originations 95.0 (p) 103.3 88.9 72.7 May-10 HUD
Purchases by First Time Buyers 71.3 (p) 76.1 70.2 56.2 May-10 HUD

Mortgage Delinquency Rates (percent)

Prime 5.9 5.8 4.9 4.4 May-10 LPS-McDash, MBA, and HUD
Subprime 36.4 35.9 33.5 34.1 May-10 LPS-McDash, MBA, and HUD
FHA 12.4 11.7 13.6 14.3 May-10 HUD
Seriously Delinquent Mortgages (thousands)
Prime 1,939.5 1,983.0 1,366.1 910.5 May-10 LPS-McDash and HUD
Subprime 1,930.9 1,959.4 1,776.4 1,642.8 May-10 LPS-McDash and HUD
FHA 548.2 544.5 388.7 333.1 May-10 HUD
Underwater Borrowers 11,276.9 11,321.7 10,163.3 (a) -- 1st Q 10 First American CoreLogic
Foreclosure Actions (thousands)
Foreclosure Starts 96.5 103.8 123.1 121.5 May-10 Realty Trac
Notice of Foreclosure Sale 132.7 137.6 133.3 103.0 May-10 Realty Trac
Foreclosure Completions 93.8 92.4 65.0 78.9 May-10 Realty Trac

SA= seasonally adjusted, NSA = not seasonally adjusted, p = preliminary, a = adjusted for methodology change.
U.S Department of Housing and Urban Development
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SOURCES AND METHODOLOGY

A. Items in Tables
Indicator Frequency Sources Notes on Methodology
Distressed Homeowners Assisted
HAMP Trial Modifications Monthy Treasury As reported.
HAMP Permanent Modifications Monthy Treasury As reported.
FHA Loss Mitigation Interventions Monthy HUD All FHA loss mitigation and early delinquency interventions.
HOPE Now Modifications Monthy Hope New Alliance All proprietary modifications completed.
Counseled Borrowers (thousands) Quarterly HUD Housing Counseling Activity Reported by All HUD-Approved Housing Counselors.
Borrower Annual Savings
HAMP Trial Modifications Quarterly Treasury, Freddie Mac, and Estimates of average savings per HAMP Trial Modifications made by Freddie
HUD Mac.
HAMP Permanent Modifications Quarterly Treasury and HUD Average savings per HAMP permanent modification reported by Treasury.
All Refinances Quarterly MBA, Treasury, and HUD Estimate of refinance originations (see below) is multiplied by Freddie Mac esti-
mate of savings per refinance.

Change in Aggregate Home Equity Quarterly Federal Reserve Board Difference in aggregate household owners’ equity in real estate as reported in the
Federal Reserve Board’s Flow of Funds Accounts of the United States for stated
time period.
Mortgage Rates (30-Yr FRM) Weekly Freddie Mac Weekly Survey of Mortgage Commitment Rates.
Home Prices
Case Shiller (NSA) Monthy Standard and Poor’s Case Shiller 20-metro composite index, January 2000 = 100.
FHFA (SA) Monthy Federal Housing Finance FHFA monthly (purchase-only) index for US, January 1991 = 100.
Agency

Home Sales (SA)

New Monthy HUD and Cencus Bureau Seasonally adjusted annual rates divided by 12.
Existing Monthy National Association of Seasonally adjusted annual rates divided by 12.
Realtors®
First Time Buyers Monthy NAR, Census Bureau, and Sum of seasonally adjusted new and existing home sales (above) multiplied by
HUD National Association of Realtors ® annual estimate of first time buyer share of
existing home sales.

Housing Supply
Existing Homes for Sale (SA) Monthly National Association of As reported.
Realtors®
Existing Homes - Months’ Supply Monthly National Association of As reported.
Realtors®
New Homes for Sale (SA) Monthly HUD and Cencus Bureau As reported.
New Homes for Sale - Months’ Supply Monthly HUD and Cencus Bureau As reported.
Vacant Units Held Off Market Quarterly Cencus Bureau As reported.

Mortgage Originations
Refinance Originations Quarterly Mortgage Bankers Associa- HUD estimate of refinance originations based on MBA estimate of dollar volume of
tion and HUD refiance originations.
Purchase Originations Quarterly Mortgage Bankers Associa- HUD estimate of home purchase originations based on MBA estimate of dollar volume
tion and HUD of home purchase originations.
FHA Originations
Refinance Originations Monthy HUD FHA originations reported as of date of loan closing. Estimate for current month
Purchase Originations Monthy HUD scaled upward due to normal reporting lag and shown as preliminary.
Purchases by First Time Buyers Monthy HUD
Mortgage Delinquency Rates
Prime Monthy LPS-McDash Analytics Total mortgages past due (30+ days) but not in foreclosure, divided by mortgages
actively serviced.
Subprime Monthy LPS-McDash Analytics Total mortgages past due (30+ days) but not in foreclosure, divided by mortgages
actively serviced.
FHA Monthy HUD Total FHA mortgages past due (30+ days) but not in foreclosure, divided by FHA’s
insurance in force.
Seriously Delinquent Mortgages
Prime Monthy LPS-McDash, MBA, and HUD Mortgages 90+ days delinquent or in foreclosure, scaled up to market.
Subprime Monthy LPS-McDash, MBA, and HUD Mortgages 90+ days delinquent or in foreclosure, scaled up to market.
FHA Monthy HUD Mortgages 90+ days delinquent or in foreclosure.
Underwater Borrowers Quarterly First American CoreLogic As reported. Due to change in reporting methodology, underwater borrower
estimates prior to the third quarter of 2009 are adjusted to be compatible with
current estimates.
Foreclosure Actions
Foreclosure Starts Monthly Realty Trac Notice of default plus lis pendens.
Notice of Foreclosure Sale Monthly Realty Trac Notice of sale (auctions).
Foreclosure Completions Monthly Realty Trac Real Estate Owned (REO).
U.S Department of Housing and Urban Development
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The Obama U.S.

Administration’s Effortsand
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SOURCES AND METHODOLOGY

B. Notes on Charts.

1. Monthly house price trends shown as changes in respective house price indices applied to a base price in January 2008 set to equal the median price of an existing home
sold in January 2008 as reported by the National Association of Realtors. Indices shown: S&P/Case Shiller 20-metro composite index, January 2000 = 100, and FHFA
monthly (purchase-only) index for US, January 1991 = 100.
2. S&P/Case-Shiller Index as reported monthly. Futures index figures report forward expectations of house prices reflected by the market as of the date indicated.
3. Reported seasonally adjusted annual rates for new and existing home sales divided by 12.

4. HUD estimate of refinance originations based on MBA estimate of dollar volume of refinance originations.
5. Cumulative HAMP modifications started, FHA loss mitigation and early delinquency interventions, plus proprietary modifications completed as reported by
Hope Now Alliance.

6. Foreclosure starts include notice of default and lis pendens, completions are properties entering REO. Both as reported by Realty Trac.

7. See “Borrower Annual Savings” above.

8. FHA market shares as FHA purchase and refinance originations divided by HUD estimates of purchase and refinance mortgage originations as noted in “Mort-
gage Originations” above.
U.S Department of Housing and Urban Development
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Appendix
The Administration has taken a broad set of actions to stabilize the housing market and help American
homeowners. A year ago, stress in the financial system had severely reduced the supply of mortgage credit,
limiting the ability of Americans to buy homes or refinance mortgages. Millions of responsible families who
had made their monthly payments and had fulfilled their obligations saw their property values fall. They also
found themselves unable to refinance at lower mortgage rates.

In February 2009, less than one month after taking office, President Obama announced the Homeowner
Affordability and Stability Plan. As part of this plan and through other housing initiatives, the Administration
has taken the following actions to strengthen the housing market:

• Supported to Fannie Mae and Freddie Mac to ensure continued access to affordable mortgage credit;

• The Federal Reserve and the U.S. Treasury purchased more than $1.4 trillion in agency mortgage
backed securities through independent MBS purchase programs, helping to keep mortgage rates at
historic lows;

• Launched a modification initiative to help homeowners reduce mortgage payments to affordable levels
and to prevent avoidable foreclosures;

• Launched a $23.5 billion Housing Finance Agencies Initiative to increase sustainable homeownership
and rental resources;

• Supported the First Time Homebuyer Tax Credit, which has helped 2.5 million American families
purchase homes;

• Provided more than $5 billion in support for affordable rental housing through low income housing
tax credit programs and $2 billion in support for the Neighborhood Stabilization Program through the
Recovery Act to restore neighborhoods hardest hit by concentrated foreclosures;

• Created the $2.1 billion HFA Hardest Hit Fund for innovative foreclosure prevention programs in the
nation’s hardest hit housing markets.

• Supported home purchase and refinance activity through the FHA to provide access to affordable
mortgage capital and help homeowners prevent foreclosures.

###