Banks provide $10.6B of post-settlement relief: VIDEO

TRD New York /
Aug.August 29, 2012 02:30 PM

The first progress report on the impact of the $25 billion mortgage settlement struck by the nation’s five biggest lenders was released today, by Joseph Smith, who is charged with overseeing the settlement. He reported that banks had provided some $10.56 billion worth of forgiveness to 137,846 borrowers between the time the settlement went into effect March 1 and the end of June (see video above).

About $8.7 billion of that total came in the form of short sales, while about $749.4 million of assistance arrived in principal reductions. Though Bank of America was responsible for $4.8 billion of the short sales it had not contributed to any of the principal reduction totals. Wells Fargo led the way in that category, with a total of $216.9 million in reductions.

Bank of America also hadn’t contributed to any of the additional $348.9 million that banks had given to forgive deferred principal from pre-settlement permanent modification of first lien mortgages. Citi led the way in that category with $284 million of the activity. The remaining $830 million of relief doled out thus far came in the form of second lien forgiveness, refinances and other programs. In addition to Wells Fargo, Citi and BofA, JPMorgan Chase and Ally Financial were also held accountable under the settlement.

New York has recieved $198.5 million worth of relief affecting 2,160 borrowers, the report found. — Adam Fusfeld

Related Articles

Maefield Development's Mark Siffin and 20 Times Square (Credit: Maefield)

Lender forecloses on Maefield’s billion-dollar Times Square project

Thor Equities' Joe Sitt and 725 8th Avenue (Credit: Google Maps)

Thor facing foreclosure at Theater District building

Home foreclosures dropped nearly 20% in Q3, report shows

Home foreclosures dropped nearly 20% in Q3, report shows

Manhattan’s 10019 zip code, which covers Midtown, Times Square, Herald Square and Midtown South, saw the most foreclosures in the borough with eight. (Credit: iStock)

Manhattan foreclosures soar 118%, driven by mortgage defaults

15 East 63rd Street and Oleg Cassini (Credit: Google Maps and Getty Images)

Oleg Cassini’s former UES headquarters faces foreclosure

Mayor Bill de Blasio and Frank Carone (Credit: Getty Images)

City tapped De Blasio donor to take over foreclosed properties

416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)

Lenders in glass houses? Judge rules Maverick can’t foreclose on Chelsea property because it violated loan agreement

Foreclosure starts are up in 17 states and a number of major cities. (Credit: iStock)

Nationwide foreclosure rates continue to drop, but problem areas remain