Monday, June 1, 2009

Prime Mortgages Dominate Workout Efforts

While the early days of the current foreclosure cycle were dominated by sub-prime mortgages, prime mortgages are now the most common type of loan being seen by workout experts.

We're seeing this in Colorado also where prime loans have become much more common among borrowers calling the Colorado Foreclosure Hotline.

According to

Mortgage industry professionals saw a record number of mortgages enter some form of workout plan in April as foreclosure moratoriums at government-sponsored enterprises began to expire.

Prime mortgages now account for more than half of the industry’s efforts.

The mortgage industry modified 127,000 mortgages in April, down from 133,910 a month earlier. With another 142,831 mortgages in repayment plans, the industry put a record 269,831 mortgages in workout during the month, according to a survey conducted by HOPE NOW, the alliance of mortgage industry professionals.

See full article.