Obama HAM program still not effective

The following was reported by the Associated Press and reveals the lack of progress from the banks. The home is not safe until the permanent modification takes place, so there is significant risk of a trustee sale until that happens. A short sale or bankruptcy filing are alternatives to the long and unknown modification time frames and stressful postponement of trustee sales pending modification review.

Only about 10,000 homeowners have received permanent loan modifications under the Obama administration's mortgage relief plan, evidence of continuing woes for the government's effort to stem the foreclosure crisis.

That means fewer than 2 percent of the 650,000 homeowners enrolled in the program as of October had their mortgage payments permanently lowered to more affordable levels. The results spotlight the limited success lenders are having in getting borrowers through the trial period, according to an oversight panel report released Wednesday.

The Treasury Department is expected to release updated numbers through November on Thursday.