Alert March 11, 2008

HOPE NOW Reports Mortgage Loan Workout Activity

Approximately 1,035,000 homeowners received mortgage loan workouts between July 1, 2007 and January 31, 2008, including 758,000 repayment plans and 278,000 loan modifications, according to a HOPE NOW study. Approximately 60% of these workouts involved subprime loans. The study shows that subprime modifications increased to nearly 50% of all workouts in January, up from 35% of total workouts in the fourth quarter of 2007 and 19% in the third quarter. HOPE NOW is a voluntary alliance of mortgage loan counselors, mortgage lenders and servicers, and other mortgage market participants that has developed a mortgage loan workout initiative. Click here for a copy of the study.