The U.S. Treasury and Department of Housing and Urban Development released the June Housing Scorecard, a report on the nation’s housing market, which showed a strengthening market, improving home prices and rising new and existing home sales.
Though the market has shown signs of improvement, officials caution that the overall recovery is still fragile and that performance varies by region.
“The Obama administration’s efforts to speed the housing recovery are showing continued progress as the June scorecard indicators highlight ongoing improvements throughout the housing market,” HUD Deputy Assistant Secretary for Economic Affairs Kurt Usowski said. “Foreclosure starts and completions are down significantly from one year ago, and since January 2012, rising home values have lifted 2.4 million homeowners back above water. That said, we remain cautious because although mortgage delinquencies are trending down, they still remain quite high compared to historic norms.”
The Home Affordable Modification Program allowed for more than 1.2 million permanent mortgage modifications, while more than 1.6 million homeowner assistance actions have been taken through the Making Home Affordable Program.
The Federal Housing Administration provided nearly two million mitigation and early delinquency interventions, and HOPE Now lenders have offered more than 3.6 million proprietary mortgage modifications through April.
Additionally, as of May, more than 1.2 million American homeowners received a permanent mortgage modification through HAMP, with some seeing 39 percent savings from their previous payment. Sixty-nine percent of homeowners with eligible non-GSE mortgages saw principal reduction through their HAMP modifications—an estimated total of $10.6 billion in principal reductions.
“Homeowners who receive help from the Administration’s HAMP program continue to show success at avoiding foreclosure, which benefits families, communities and the economy,” Tim Massad, the Treasury assistant secretary for financial stability, said. “HAMP has also put into place important standards for the mortgage servicing industry that have improved outcomes for struggling families more broadly.”