No matter how hard the administration tries to get involved it is too difficult for them to take over private industry. I hear the most successful loan mods are from the GSE's, Fannie and Freddie. Other than that there's too many other factors in play like mortgage insurance and investors. Throw in the loan servicing companies and you have such an inefficient process that the majority of homes just end up foreclosing. How do they expect homeowners to make payments when they are unsure of what the lender is going to do and so they just start saving their cash. I am not saying that's right but I am saying that unless these lenders become more proactive, you will just see more foreclosures.
REALTOR® Magazine-Daily News-Federal Loan Mod Effort Reaches 20 Percent