Hope Now

HOPENOW

What is HOPE NOW? HOPE NOW is the industry-created alliance of mortgage servicers, investors, counselors, and other mortgage market participants, brought together by the Financial Services Roundtable, Housing Policy Council and Mortgage Bankers Association, that has developed and is implementing a coordinated plan to help as many homeowners as possible prevent foreclosure and stay in their homes. HOPE NOW has focused its efforts in three main areas: borrower outreach, data reporting and innovation in the area of foreclosure prevention.

Borrower Outreach

5.7 Million Loan Modifications for America’s Homeowners (as of July 2012)

“HOPE NOW has always been about collaboration, aggressive outreach to borrowers, and education on alternatives to foreclosure. Our data continues to support these activities, and our members remain active in helping families find sustainable and realistic mortgage solutions.” - Faith Schwartz, Executive Director, HOPE NOW

HOPE NOW manages a multi-state tour of homeownership workshops where homeowners have the opportunity to talk to their lender and/or a HUD-certified housing counselor about their mortgage. Since 2008, more than 100,000 attendees have participated in over 135 events in more than 65 cities. Approximately one-third of attendees leave these events with a decision and the other two-thirds leave with clear next steps and education of their mortgage options. HOPE NOW has joined forces with several agencies and non-profits for these events, including the Obama Administration’s Making Home Affordable Program, NeighborWorks® America, federal reserve banks, Homeowner’s HOPE™ Hotline 888-995-HOPE™, and local partners. In 2012, HOPE NOW expanded its efforts beyond traditional events and took its outreach model to the military community. A plan was put in place to host face to face events on key military bases. Ft. Gordon, GA and Ft. Jackson, SC saw the first two events of this kind in April 2012, and close to 300 service members attended. Several bases will be hosting future events, so that HOPE NOW can address the unique challenges facing military homeowners in all branches of the armed forces.

Outreach to The Hill HOPE NOW has worked with Housing Policy Council, Mortgage Bankers Association and others to periodically brief policymakers on Capitol Hill. These briefings often include representatives from non-profit partners as well as servicing partners to ensure experts on the ground are present for any questions and answers.

In addition, HOPE NOW has appeared more than a dozen times before policymakers and elected officials to offer testimony on government loan modification efforts, mortgage servicing standards, Troubled Asset Relief Program (TARP), foreclosure prevention initiatives and mortgage reform. HOPE NOW often participates in industry panels and association briefings in which clear messaging on industry activity plays a key role. Executive Director, Faith Schwartz, continues to stress the need for the industry to work together with non-profit partners, regulators and policymakers in order to bring transparency and progress to foreclosure prevention activities.

Data Reporting Since HOPE NOW started collected data in 2007, 5.7 million homeowners have saved their homes via permanent loan modifications. This includes both proprietary loan modifications and all permanent modifications completed under the Home Affordable Modification Program (HAMP). The high point of loan modification efforts occurred in 2010, when the industry completed 1.76 million loan modifications. HOPE NOW’s data represents 85% of the total mortgage market and has been the gold standard for media reporting on alternatives to foreclosure.

Innovation HOPE NOW has shown the unique ability to bring together all stakeholders for the benefit of homeowners across the country. The organization facilitates regular meetings that focus on issues around improved customer experience, foreclosure mediation, better technology and new borrower outreach models. One of the crowning achievements of these efforts, was the creation of Hope LoanPort®, a national, neutral, non-profit web-based system designed to bring efficiency, consistency, and transparency to the processing of foreclosure alternatives. Hope LoanPort is available to more than 4,000 non-profit housing counselors in all 50 states and Puerto Rico. Currently, there are more than 800 mortgage servicer users.

HOPE NOW Data

Borrower Outreach

A Portrait of Progress

Bringing Assistance Directly to America’s Communities

Additionally, 974,000 short sales have been completed. The total of 6.5 million permanent solutions, compares to 4.5million foreclosure sales over the same period of time.

HOPE NOW has collected valuable data from its mortgage servicing members and reports on the results each month. Since data was first collected in 2007, the industry has completed over 5.7 million loan modifications for homeowners. The majority of these modifications have been proprietary (4,619,054) and the rest have been completed under HAMP (1,043,471).

Several major publications have covered HOPE NOW’s data over the years, including CNN Money, CNBC, DS News, Housing Wire, USA Today, Mortgage Orb, National Mortgage News, Bloomberg and Dallas Morning News.

Cumulative Total Modifications and Short Sales Completed (thousands of loans) 7,000

HOPE NOW held its first face to face outreach event in March 2008 in Riverside, CA with ten mortgage servicers. Since then, more than 135 events in over 65 markets have been hosted by HOPE NOW and its partners, with an average of fifteen mortgage serving companies and more than a dozen non-profit housing counselors in attendance. Almost 102,000 families have attended and received one-on-one assistance from mortgage servicers, housing counselors and other organizations. HOPE NOW’s outreach model is about community engagement, education on alternatives to foreclosure and providing the very best customer experience for all who attend.

6,000

The success of HOPE NOW’s events is built on partnerships. Here is a list of some of the major partners who have been a part of this massive outreach effort over the years:

5,000 4,000 3,000 2,000 1,000

■ Completed (Proprietary)

5-12

3-12

1-12

9-11

11-11

7-11

5-11

3-11

1-11

9-10

■ Completed HAMP

11-10

7-10

5-10

3-10

1-10

9-09

11-09

7-09

5-09

3-09

1-09

9-08

11-08

7-08

5-08

3-08

1-08

9-07

11-07

7-07

0

■ Completed Short Sale

Source: Making Home Affordable and HOPE NOW HOPE NOW has collected data on Completed (Proprietary) Modifications since 2007. Data for Completed HAMP loans began in September 2009. HOPE NOW began collecting short sale data in December of 2009.

Modification Completed (thousands of loans) 100 120 140 160 180 200 80 60 40 20

■ Completed (Proprietary)

7-12

5-12

3-12

1-12

11-11

9-11

7-11

5-11

3-11

1-11

11-10

9-10

7-10

5-10

3-10

1-10

11-09

9-09

7-09

5-09

3-09

1-09

11-08

9-08

7-08

5-08

3-08

1-08

9-07

11-07

7-07

0

■ Completed HAMP

Source: Making Home Affordable and HOPE NOW HOPE NOW has collected data on Completed (Proprietary) Modifications since 2007. Data for Completed HAMP loans began in September 2009. HOPE NOW began collecting short sale data in December of 2009.

Complete media coverage of HOPE NOW at http://hopenow.com/news.php

Making Home Affordable NeighborWorks® America 888-995-HOPE™ HOPE LoanPort® CredAbility Federal Reserve Bank of Boston Federal Reserve Bank of San Francisco Indiana Foreclosure Prevention Network Neighborhood Housing Services of Los Angeles Governor Brian Sandoval (Nevada) Congressman John Lewis (Georgia) Congressman David Scott (Georgia) Congressman Allen West (Florida) Congressman Alcee Hastings (Florida)

Faces of Recovery What homeowners are saying about our events “It was important for me to sit face to face with someone and go over my situation. I recently started a new job so I wanted to make sure all of the documents for my trial modification were in order. It turns out that the bank just needs my hardship letter to complete the application, but I feel good about my prospects for getting a loan modification. I’m really glad I took the time to come to this event.” - Judi, Las Vegas, NV “I’m really glad I took the time to come here today to talk to Bank of America. I worked with a wonderful person on-site and I am happy to say that we were pre-qualified for a modification today.” - Leslie, Mechanicsville, VA “I was tired of bad information and scammers, so I was happy to learn about this event. It didn’t take me very long to get through the process, so it was totally worth it to come here today and take care of this. I went to the HOPE NOW website and found out what documents I needed to bring with me. It was that simple. I met with Chase, was able to submit a complete application with no missing documents, and I was told that I would have a decision in 5-7 business days.” - Will, Portland, OR For more testimonials from homeowners around the country, visit http://hopenow.com/faces-of-recovery.php#

2012 Outreach Activity Over 9,000 families have attended HOPE NOW events in 15 markets through August 2012. The outreach schedule kicked off in Charlotte, NC in January with the first of 14 events co-sponsored by the Obama Administration’s Making Home Affordable (MHA) Program. The highlight of the year was a two day event in Las Vegas in March, which was held in partnership with Governor Brian Sandoval. Close to 3,500 homeowners attended the weekend event. In June, a two day event in Atlanta was also sponsored by Congressmen Lewis, Johnson and Scott of

Georgia. The Congressmen have lent their support and resources to three events in Atlanta since 2009. Events are also scheduled for Detroit, MI (September), Nashville, TN (October), Orlando, FL (November) and Ontario, CA (December) through the end of the year. In 2013, HOPE NOW’s outreach efforts will consist of 12 events in major markets and events held on military bases as requested by the armed forces. Additionally, a series of counselor-led events, using new technology such as Hope LoanPort and local resources, will take place on a regional level as needed.

“There are a lot of people underwater and there are a lot of scammers out there. We wanted people to come to a place that's legitimate and they know they'll get answers.” - Nevada Governor Brian Sandoval

Events from January through August 2012:

Media Coverage for 2012 Events

Date

Attendees

ABC Atlanta (WSB-TV)

Fox Miami (WSVN-TV)

588 921 416 3439 763 1015 629 327 326 1478 585 403 250 453 316

ABC Charlotte (WSOC-TV)

Las Vegas Review Journal

ABC Las Vegas (KTNV-TV)

Miami Herald

ABC Los Angeles (KABC-TV)

NBC Atlanta (WXIA-TV)

ABC Reno (KOLO-TV)

NBC Indianapolis (WTHR-TV)

Arizona Republic

NBC Las Vegas (KSNV-TV)

Atlanta Journal Constitution

NBC Reno (KRNV)

CBS Atlanta (WGCL-TV)

NBC Sacramento (KCRA-TV)

CBS Reno (KTVN-TV)

NPR Atlanta

Charlotte Observer

NY1 TV (New York)

Chicago Tribune

Phoenix Business Journal

Financial Times

Reno Gazette Journal

Fox Atlanta (WAGA-TV)

Reuters

Fox Charlotte (WCCB-TV)

Sparks Tribune

Fox DC (WTTG-TV)

Telemundo Los Angeles

Fox Indianapolis (WXIN-TV)

Times-Picayune (New Orleans)

Fox Las Vegas (KVVU-TV)

Univsion Miami

Locations

Jan 24th Charlotte, NC Feb 22nd Miami, FL Feb 24th Tampa, FL Mar 3rd/4th Las Vegas, NV Mar 20th Sacramento, CA Mar 22nd Los Angeles, CA Apr 23rd Chicago, IL Apr 25th Indianapolis, IN May 9th New Orleans, LA June 1st/2nd Atlanta, GA June 25th Brooklyn, NY July 17th Reno, NV July 19th Phoenix, AZ Aug 8th Prince George’s Co., MD Aug 28th Foxboro, MA

What the media is saying about our events: “Nearly 1,200 people lined up at a downtown Miami conference center on Wednesday, holding onto mortgage documents and income statements in the hope of saving the homes they are struggling to pay for… Robin and Michael Johnson left with smiles and smaller monthly payments on the house they bought for $36,000 in 1982. They said they would have had it paid off this year except the couple "fell for a refinancing" during the boom years and ended up with a $180,000 debt. They fell behind in the payments when Michael Johnson lost his job two years ago. ‘I am so, so thankful, very relieved,’ said his wife, Robin.” - Reuters, 2/22/12

“Nearly 3,500 Las Vegans attended the "Hope Now" homeownership event over the weekend. Gov. Brian Sandoval and several local organizations hosted the two-day event to allow at-risk homeowners to speak with mortgage counselors to find alternative solutions. Hope Now took place at the Cashman Center and saw 1,420 families on Friday and 2,019 homeowners on Saturday. Twenty mortgage services participated in the event, including American Home Mortgage, Aurora, Bank of America, Chase, Citi, Federal Home Loan Bank SF, Silver State Credit Union and Wells Fargo. This was the fifth Hope Now event held in Las Vegas since 2008. But, the 3,439 attendees over the weekend was the largest turnout the organization has ever had in the market.” - Fox Las Vegas, 3/13/12

"

You don't know what you qualify for," says Selk. "There could be a lot of tools you don't know about. I would advise those people, if they have any questions, any uncertainty, to come down and talk to someone to really get peace of mind." - Eric Selk, Deputy Director, HOPE NOW

Service Member Outreach

Technology Innovation

The current housing crisis has created a separate set of challenges for homeowners in the military. In order to assist these families, HOPE NOW, and the Housing Policy Council (led by Former Secretary of the Navy, Honorable John Dalton), has worked closely with various military stakeholders to bring a scaled down version of its traditional face to face outreach events to several key military bases nationwide. In April 2012, HOPE NOW and eight mortgage servicers hosted events at Ft. Gordon, GA and Ft. Jackson, SC that saw almost 300 service members attend.

HOPE LoanPort® Hope LoanPort®, created in 2009 by HOPE NOW, is a neutral, non-profit, web- based utility created to improve the execution of loan modifications and designed to be used by borrowers, non-profit counselors, servicers, and other organizations that have a vested interest in the loan modification process. Hope LoanPort operates as a separate non-profit entity. Currently, over 4,000 housing counselors in 50 states, the District of Columbia and Puerto Rico have the ability to access mortgage servicers representing over 80% of the United States mortgage market, via Hope LoanPort.

As a result of the success of these two events, several future events have been planned for Ft. Bragg, NC, Ft. Lewis, WA, Ft. Lee, VA , Ft. Hood, TX and several other bases. The five largest mortgage servicers, and a few others, have committed to making these events successful. HOPE NOW has also taken the lead in bringing all stakeholders together for several in-depth meetings focused on solutions for offering comprehensive financial assistance to the men and women who serve in the armed forces. Service Members, Retirees Learn Solutions to Housing Problem at Fort Gordon Seminar Augusta Chronicle, 4/10/12 Military Mortgage Assistance program kicks off at Fort Gordon WRDW-TV (Augusta, GA), 4/10/12

“HOPE NOW has added service member issues as a top priority and is working closely with DOD and the CFPB to conduct military outreach events, held on bases, to communicate and educate foreclosure-prevention and housing workout options available to military homeowners facing a permanent change of station.” - Excerpt from guest column in Stars & Stripes, written by Honorable John Dalton, President, Housing Policy Council

In 2012, Hope LoanPort along with GMAC Mortgage launched Homeownerconnect.com, the first ever consumer direct portal. Homeowner Connect will standardize the entire communication lifecycle of loss mitigation activities between mortgage servicers and borrowers. Homeowners, who may be struggling with their mortgage, will have the ability to connect with valuable free resources, such as information on options via government and industry programs – all in one place and from any computer with internet access.

“We believe that HOPE LoanPort® is a vital, necessary, and most important, free utility for use by all housing counselors in our network. It is perhaps the most complete web-based loss mitigation tool currently available for bridging the gap between homeowners and mortgage servicers.” - Jacqueline Carlisle, Executive Director of NID-HCA

Additionally, Bank of America announced in 2012 that all non-profit housing counselors and forprofit organizations working with their customers are now required to use Hope Loanport for intake of all loan modification applications. Faith Schwartz, Executive Director of HOPE NOW, issued the following statement regarding Bank of America’s announcement: “Bank of America has been an innovator in the industry and a key supporter of Hope LoanPort and HOPE NOW. By requiring its counseling partners, and for profit third parties, to use HOPE LoanPort for loan modification applications, Bank of America is showing our industry the value this portal provides for its customers. This directive is going to be a real game changer in the mortgage market. Hope LoanPort provides improved communications between parties, a streamlined application process and the ability to make faster decisions for at-risk homeowners. And it is fully compliant with the servicing standards, as defined by various regulatory agencies. HOPE NOW congratulates Bank of America, Hope LoanPort and the many consumers nationwide who will benefit from the use of this tool.”

Bringing Stakeholders Together Since inception, HOPE NOW has had the unique ability to bring together the mortgage industry, the non-profit community, government agencies, investors and local partners for the sole purpose of finding solutions for America’s homeowners. HOPE NOW has held several quarterly meetings over the past five years, which have brought together representatives from each of these sectors for in-depth discussions on the following issues: • • • •

Foreclosure mediation Outreach to military homeowners Disposition of REO properties Benefits of non-profit housing counseling

“HOPE NOW’s meetings have resulted in a thoughtful exchange of ideas and a roadmap for future initiatives that will go a long way in assisting at-risk homeowners nationwide. The tools at our disposal for helping at-risk homeowners continue to evolve with expanded government programs, outreach events, improved technology and better communication among stakeholders. As HOPE NOW continues its efforts in the future, we are focused on streamlined decision making, creating best practices for educating homeowners on all available options and expanded outreach to include military homeowners.” -

These topics, and their high level of importance to the future of America’s housing market, have attracted several high profile individuals as participants. This impressive list of industry leaders includes: • Steve Bartlett, President & CEO, Financial Services Roundtable • Honorable John Dalton, President, Housing Policy Council • Edward DeMarco, Director, Federal Housing Finance Agency • Colonel Paul Kantwill, Director of Legal Policy, Department of Defense • Timothy Massad, Assistant Secretary for Financial Stability, US Treasury • Holly Petraeus, Director, Office of Service Member Affairs, CFPB • Judge Annette Rizzo, City of Philadelphia • Secretary Hank Paulson, United States Treasury • David Stevens, President & CEO, Mortgage Bankers Association • Mark Zandi, Chief Economist, Moody’s Analytics

-Faith Schwartz, Executive Director, HOPE NOW Alliance

Don’t be afraid. Come down. Talk. It’s worth it, very much so. We now have hope that we are going to keep our home. - Ruth, Kansas City, MO

1001 Pennsylvania Ave. NW Suite 500 South Washington, DC 20004 www.hopenow.com