Posted on 08/22/2013 9:25:37 AM PDT by whitedog57
On the heels of the news that Wells Fargo is cutting 2,300 workers from the mortgage production operations, we have learned from the Office of Mortgage Settlement Oversight that consumer mortgage relief has totaled $51 billion, averaging $80,000 per borrower.
Now THATs a Big Twinkie!
Here are the consumer relief highlights from the National Mortgage Settlement (NMS):
Program to Date: March 1, 2012 June 30, 2013
643,726 borrowers benefited from some type of Consumer Relief totaling $51.332 billion, which, on average, represents about $79,742 per borrower. This figure includes both completed Consumer Relief and active first lien trial modifications as of June 30, 2013.
393,742 borrowers received some type of Consumer Relief (a permanent or trial modification, an extinguishment, or refinancing assistance) to help them retain their homes, which amounts to $28.801 billion, averaging approximately $73,148 per borrower.
95,582 borrowers successfully completed a first lien modification and received $10.399 billion in loan principal forgiveness, averaging approximately $108,795 per borrower.
1,595 borrowers are in active first lien trial modifications as of June 30, 2013, the total principal value of which is $151.69 million. This represents potential relief of about $95,104 per borrower if the trials are completed.
Second lien modifications and extinguishments were provided to 223,168 borrowers, representing approximately $15.312 billion in total relief. The average amount of relief for borrowers whose second liens were modified or extinguished was approximately $68,611.
Banks refinanced 73,397 home loans with an average unpaid principal balance of $226,285, reducing the average annual interest rate by approximately 2.25 percent. The total estimated benefit to borrowers from refinancing over the average life of the loan is approximately $2.939 billion. On average, each borrower will save approximately $425 in interest payments each month.
184,397 borrowers had either a short sale completed during this period or the lender accepted a deed in lieu of foreclosure, waiving any unpaid principal balance in either case. The total amount of this type of relief was approximately $20.902 billion, or about $113,354 per borrower.
Through the various other Consumer Relief programs outlined in the Settlement documents, the banks provided $1.628 billion in relief to 65,587 borrowers. The average relief of these other programs amounts to approximately $24,828 per borrower.
Here are the charts:
Program to Date Consumer Relief Charts
Second Quarter 2013 Consumer Relief Charts
Despite the $80,000 per borrower relief (aka, wealth transfer), Attorney General Eric Holder wants MORE blood. He wants to prosecute those responsible for the housing bubble and financial market crash. Except, of course, for national home ownership policies like the Community Reinvestment Act (CRA) or HUDs National Homeownership Strategy (NHS) that encouraged/forced lenders to make risky loans. nhsdream2
And Sen. Elizabeth Warren (D-Mass.) sent a letter to Attorney General Eric Holder Wednesday questioning whether a major government settlement with the nations largest mortgage companies is merely a way to absolve banks of malpractice under a timid enforcement strategy.
Really Senator Warren? $51.332 billion in wealth transfers averaging $79,742 per borrower is timid? And Senator Warren still clings to the notion that reckless government housing policies had nothing to do with the housing bubble and financial crisis.
I will be meeting with Senate staffers on the future of housing finance on Wednesday. I will bring up the role of government housing policy and the financial crisis.
“He wants to prosecute those responsible for the housing bubble and financial market crash.”
Prosecute Obama and Congress, they caused it!
Well crap. I think I am part of those numbers now.
I worked with Wells Fargo during a hardship last year and believed I was re-financing to get a lower interest rate. Now I am thinking my lower interest rate just came at the expense of all tax payers.
You did what you could for your situation and obligations. You are never informed where the money comes from TO the bank. The radio was filled with the ad from “firms” to help— all jive tail resell of not their money.
TARP HARP, and the continuation of Dodd-Frank. The continuation of fannie and freddie’s bankrupt practices.
110% loans and house flippers are back with a vengance in this electronic fiat “bailout”.
HARP program, that and the internet. It is all our money— really not... it’s the Fed’s funny money or chinee loan.
The shell game continues, like musical chairs. Which country will have the chair pulled out from under them? Aren’t hearing about Cyprus much anymore.
Those who can are becoming debt free as they are able.
Oh, this dates from CRA and jimmah cahtah... the working man’s “friend” who is a saudi stooge now and buddies with Castro.
That is my situation now. With life balancing out now, I am using the Ramsey plan and doing what I can to wipe out debt and get ready for some seriously tough times ahead that ALL Americans unfortunately will feel.
How stupid of me for paying off my mortgage without anyone’s help.
Of course they do. They have always wanted to kill the free markets. They have always hated the uppity middle class when it should be them at the top, the elite who run the show and their allies, and everyone else should be impoverished peasants who lick their boots.
Where?
I will be meeting with Senate staffers on the future of housing finance on Wednesday.
You need to meet with an HTML tutorial so you can post those charts you didn't make.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.