Industry NewsMarkets & Economy

Growth in foreclosure sales outpaces workouts

Real estate roundup

Don't miss the real estate event of the summer
Join 4,000 real estate pros at Connect SF, Aug 7‑11, 2017

HOPE NOW's latest data on loan mods, ARM resets Lenders are speeding the pace at which they conduct workouts with troubled borrowers, but foreclosure sales are rising faster, according to the latest numbers from the HOPE NOW coalition of loan servicers. Based on the 163,649 foreclosure sales reported by HOPE NOW in April and May, foreclosure sales were on a pace to hit 245,473 for the second quarter, up 24 percent from 198,172 foreclosure sales in the first quarter. Based on the number of workouts in April and May, servicers were on track to complete 519,291 workouts in the second quarter, up 7.5 percent from the first quarter. In engaging in workouts with troubled borrowers, HOPE NOW loan servicers are relying less on repayment plans, which some critics have said are a short-term fix, and increasing the number of loan modifications. Based on the numbers for April and May, HOPE NOW loan servicers were on track to put in place 202,003 loan modifications during the second...