OFFICE OF MORTGAGE SETTLEMENT OVERSIGHT – Joseph A. Smith, Jr., Monitor of the National Mortgage Settlement, on Nov. 19, 2012, released a report “Continued Progress: A Report from the Monitor of the National Mortgage Settlement,” which outlines the consumer relief activities the five banks that are parties to the settlement have conducted since March 1, 2012.
The Office of Mortgage Settlement Oversight report, which follows the initial “First Take: Progress Report from the Monitor of the National Mortgage Settlement,” says banks disclosed that they have extended more than $26.11 billion in gross relief to more than 300,000 borrowers, or roughly $84,385 per homeowner.
“The relief the banks have reported is encouraging,” said Smith.
“But it is important to remember that no obligations will be met until I have reviewed, confirmed and credited them. I look forward to conducting that work in the coming months and reporting my findings to the public,” Smith added.
Smith also said the report discloses that the banks have completed $21.92 billion in consumer relief to borrowers between March 1 and September 30, 2012, and have an additional $4.2 billion still in active trial modifications.
“Borrowers have received $6.339 billion in the form of either first or second lien principal relief. This information represents gross dollar amounts and, because in many cases relief under the National Mortgage Settlement is not credited dollar-for-dollar, cannot be used to evaluate progress toward the banks’ $20 billion obligation,” Smith said.
‘Continued Progress’ report details
- Total consumer relief – $26.11 billion
- Completed first lien modification forgiveness – $2.553 billion
- Short sales completed/deficiency forgiven – $13.133 billion
- Completed forgiveness of pre-March 1, 2012 forbearance – $1.008 billion
- Estimated consumer relief of refinances completed – $1.442 billion
- Active trials in progress – $4.187 billion
- Completed second lien modifications and extinguishments – $2.778 billion
- Other programs – $1.006 billion
Also in the report
- An update on implementation of the servicing standards, or rules, outlined in the settlement and the metrics, or tests, the monitor will use to assess their compliance.
- A description and map of the complaints received by the monitor from consumers and their advocates.
- A timeline of future settlement milestones. Detailed consumer relief information for each state.
- This report focuses on activities that have been completed. Servicers may release larger numbers that also include offers they’ve extended.
- The more than $20 billion figure in this report does not mean that the servicers have met their obligations under the ($25-billion) settlement. Once a bank certifies that it has completed its obligation, the Monitor will review it.
- Additional information is available from the oversight office’s “Monitor’s State Report” page, which includes a fact sheet, consumer reporting map, professional reporting map and consumer relief data.
- For state-by-state mapped information, click here.
Read more about the National Mortgage Settlement.
DeadlineNews.Com also contributed to this report.