For the past two months Rose Inman hoped she could benefit from President Barack Obama’s plan to help homeowners avoid foreclosure.
Now it’s too late.
Douglas County-based Aurora Loan Services is set to foreclose on her home overlooking Seattle’s Puget Sound on Friday. Despite numerous calls, e-mails and letters, she said she has been able to have only one phone conversation with a company representative.
“It’s like this huge, concrete thick wall that you cannot get through,” said Inman, 58. She now works as a human-resources consultant but is making less money than she did before she was laid off by the city of Seattle.
On Thursday, the Obama administration said its bold mortgage-assistance program, which began in March, is helping thousands of borrowers, though some lenders are working faster than others. So far, participating mortgage companies have made more than 55,000 offers to modify borrowers’ loans, but officials could not say how many of those homeowners had in fact been helped.
And knowing that many troubled homeowners can’t be, the Obama administration expanded its $50 billion mortgage-aid program, announcing new measures that would help homeowners avoid a foreclosure if they don’t qualify for other assistance.
The initiatives are intended to streamline the process of selling a home that is worth less than the mortgage, or transfer ownership of a home to the lender. Both options ding the homeowner’s credit score, but less than a foreclosure.
So far, 14 companies — including Aurora Loan Services, Wells Fargo and JPMorgan Chase — have signed up and will be paid for each loan they modify.
