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South Florida sees decline in delinquent mortgage payments

One of the nation’s largest home loan servicers is seeing a decline in the number of delinquent payments by homeowners in South Florida. In less than a year, those homeowners that were at least 60 days late dropped by a third, according to a spokesperson for Bank of America. The numbers show the decline from 30,000 late homeowners in June of last year to 19,000 this month. According to a federal report from the U.S. Department of Housing and Urban Development, this is a national trend as well.

According to the U.S. Treasury, more than 39,900 homeowners in 3 south Florida counties were able to receive mortgage modifications making their monthly payments more affordable. And more than 3,900 Florida families are currently on a trial modification plan. Loan modifications are helping to keep families in their homes, and helping to improve the housing crisis by reducing the number of late payments.

One bank reports that in the past 2 months none of their customers with home loans has been more than 30 days late with their payment, a first for the bank in the past 3 years. South Florida is one of the nation’s leaders in home loan modifications. Other Florida banks are also seeing a reduction in delinquent payments and a decrease in the number of requests for help.

A spokesperson for Regions Bank said that about a quarter of its 42,000 mortgage customers have been helped through its Customer Assistance Program. That equates to about $1.5 billion in financial assistance to homeowners who had been in distress, and that’s just in Florida.

If you are struggling with an underwater mortgage and other debts, or just want to modify your mortgage, consulting with a mortgage modifications attorney can help you understand the various government and private programs currently available. An attorney can also help you find the best program for your individual situation, even if you are considering filing for personal bankruptcy, such as Chapter 7.

Source: Sun Sentinel, “Delinquent mortgages fall in South Florida,” Donna Gehrke, April 11, 2012

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