A poll conducted by a trade group that represents the bankruptcy sector of the legal community found that an overwhelming majority of respondents would prefer to end the government’s unsuccessful modification program.
With the May 2009 passage of the Helping Families Save Their Homes Act of 2009, President Barack Obama’s Home Affordable Modification Program was law. Three months earlier, the administration projected that between 4.0 and 5.0 million borrowers would benefit from the $75 billion initiative.
As of March 31, fewer than 0.6 million permanent modifications have been completed under the program.
At least one group’s members say it’s time to put the program out of its misery.
The American Bankruptcy Institute reported this week the results of a “quick poll” about whether HAMP should be continued.
While the number of people participating in the poll was not disclosed, the Alexandria, Va.-based association says it has more than 13,000 members including attorneys, judges and other bankruptcy professionals.
Nearly two-thirds of the respondents felt that that Congress and the administration “should end rather than mend” the program. At least half “strongly agreed” with the idea.
“HAMP modifications are not holding up well either as many trial modifications lapse into re-default,” ABI stated. “As the plan has repeatedly missed its targets, HAMP has come under fire on Capitol Hill, with House lawmakers voting earlier this year to end the HAMP program.
“Meanwhile, more than 6 million homes have been lost in foreclosure.”
Less than a third of those surveyed didn’t think the program should be axed.
