In Arizona, the state’s Department of Housing is set to roll out a program that will pay delinquent borrowers to work with lenders to pursue shorts sales-its prior program, aimed at promoting loan modifications, having proved to be a bust of galactic proportions. From the Arizona Republic:
Housing Director Michael Trailor said the state agency will start taking applications for the short-sale program today. Go to housingaz.com to apply. It’s the same site that is taking applications for the principal-reduction loan-modification program and unemployment mortgage aid, both of which also are being funded by federal money from the Hardest Hit Housing program.
The Arizona housing agency has been able to persuade lenders only to match their principal reductions to modify six loans, so far. The program was launched a year ago, and Trailor said as many as 30,000 Arizona homeowners should qualify. [Emph. added]
I was worried for a second my calculator didn’t have enough decimal places to calculate the percentage of eligible borrowers who’ve been helped by the Arizona program. I needn’t have. It turns out it’s 0.002%. Three more mods and they can start their own softball team. . . . .