Foreclosure Prevention & Home Improvement This Summer
The summer months are all about looking at the glass half full. That’s why the nearly 70,000 homeowners who received permanent loan modifications have many looking on the bright side. HOPE NOW, an alliance of mortgage servicers, investors, mortgage insurers and nonprofit counselors reports that of the 70,000 modifications, 58,000 were private loan modifications and 12,000 were through the government’s Home Affordable Modification Program (HAMP). Foreclosures stood at 59,000 for the month of April.
More than 6 million homeowners have received permanent loan modifications since 2007. Short sales reached 27,000 in April, which is a slight decrease from 28,000 in March. HOPE NOW reports that over 7.6 million foreclosure prevention solutions have been applied since 2007 when combining loan modifications and short sales.
While homeowners work to avoid foreclosure, they have also made the most out of their current situations. Zillow conducted a survey of homeowners who are stuck in negative equity, but have launched summer home improvement projects. The report says 60% of respondents are planning a summer home improvement project—71% of those landing in the 18-to-34 year-old age bracket.
Fifty-one percent of homeowners over 55 said they were planning a project and 61% of 35-54 year olds said they are making plans as well. The median budget for homeowners planning projects is $1,200—up to $1,5000 for homeowners with children.
The most popular projects, you ask? The largest share of summer projects take place outdoors at 40%, while bathroom projects come in second with seventeen percent. Thirty seven percent of respondents went to the web for ideas. The younger homeowners were the dominant demographic utilizing online sources for their creative ideas.