Lenders have become more overwhelmed with the many borrowers that are trying to get their loans modified. Non-profit organizations are also overwhelmed and have to hire more people to be able to help the many that call and ask for assistance. The Obama Administration hopes to help at least 4 million homeowners from the most recent foreclosure prevention plan.

There are many homeowners that are underwater and will find it hard to refinance. However, the plan will have added another $10 billion to help those who face losses in owing more than the home is worth. Fannie Mae received a court order from the supreme court of the state of South Carolina that would require a stop to all foreclosures. This would include more than 1,000 homes. They hope that they can give the plan enough time to work itself out through the homeowners and their lenders.

More incentives are being given by the federal government to encourage lenders to allow more homeowners to sell their homes for the amount they owe. Since the foreclosure prevention plan has passed there have been more than 20,000 homeowners who received lower mortgage payments and 55,000 have received a modification. It is expected that many more homeowners will receive help and stay in their homes.