Making Home Affordable Program
Servicer Performance Report Through August 2010
•Aggregate reductions in monthly mortgage payments forborrowers in active trial and permanent modifications totalmore than $3.1 billion.•The median savings for borrowers in permanentmodifications is $515.49, or 36% of the median paymentbefore modification.
Interest Rate Reduction100%TermExtension56.7%Principal Forbearance29.5%
0% 20% 40% 60% 80%
Median Monthly Payment
Includes borrowers who are employed but have faced a reduction in hours and/or wages as well asthose who have lost their jobs.Note: Does not include 17.5% of permanent modifications reported as Other.
Ratio of housing expenses (principal, interest, taxes, insurance and homeownersassociation and/or condo fees) to monthly gross income.
Ratio of total monthly debt payments (including mortgage principal and interest, taxes,insurance, homeowners association and/or condo fees, plus payments on installmentdebts, junior liens, alimony, car lease payments and investment property payments) tomonthly gross income. Borrowers who have a back-end debt-to-income ratio of greaterthan 55% are required to seek housing counseling under program guidelines.
Principal and interest payment.
Modification CharacteristicsLoan Status Upon Entering TrialPermanent Modifications by Modification Step
Select Median Characteristics of Permanent Modifications
Predominant Hardship Reasons for Permanent Modifications
Note: For all trial modifications started.“At Risk of Default” includes borrowers up to 59 days delinquent at trial entry as well asthose in imminent default. “In Default” refers to borrowers 60 or more days late at trial entry.
Note: Data on the performance and delinquency of permanentmodifications, included in the June 2010 Servicer Performance Report,will be published quarterly.