HOPE NOW Reports 99K Mortgage Solutions for Homeowners in November K Permanent Loan Modifications Completed for the Month

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1 January 27, 2016 Media Contact: Oliver Jakubos (202) HOPE NOW Reports 99K Mortgage Solutions for Homeowners in November K Permanent Loan Modifications Completed for the Month (WASHINGTON, DC) HOPE NOW, the voluntary, private sector alliance of mortgage servicers, investors, mortgage insurers and non-profit counselors, has released its November 2015 loan modification data report. HOPE NOW s comprehensive loan data for the month of November shows consistent trends from the previous month, however total foreclosure alternative solutions remained steady and continued to outpace completed foreclosure sales by a four to one margin. The combination of total loan modifications, short sales, deeds in lieu and workout plans in November 2015 were approximately 99,000, compared to an estimated 24,500 foreclosure sales. This metric is important as it shows the breadth of solutions available to at-risk homeowners and that these homeowners are likely to receive an alternative solution to foreclosure. It is interesting to note that nearly 40% of foreclosure alternative solutions for families were repayment plans. This indicates most families are experiencing short term hardships. Included in that total solutions figure were an estimated 26,000 permanent loan modifications. This total includes modifications completed under both proprietary programs and the government s Home Affordable Modification Program (HAMP). Of the permanent loan modifications completed in the month of November, an estimated 19,000 were through proprietary programs and 7,691 were completed via HAMP. Key Metrics: November 2015 vs. October 2015 Loan Modifications: Approximately 26,000 completed in November vs. 30,000 completed in October a decrease of approximately 16%. Short sales Approximately 5,600 in November vs. 6,800 completed in October a decrease of 14%. Deed in-lieu: Approximately 1,400 completed in November vs. 1,500 completed in October decrease of 10%.

2 Foreclosure starts Approximately 47,000 in November vs. 57,000 in October a decrease of 17%. Foreclosure sales Approximately 24,000 in November vs. 29,000 in October a decrease of 14%. Serious delinquencies Approximately 1.65 million in November vs million in October unchanged. Delinquency data is extrapolated from data received by the Mortgage Bankers Association for the third quarter of Key Metrics: November 2015 vs. November 2014 Loan Modifications: Approximately 26,000 completed in November 2015 vs. 33,000 in November 2014 a decrease of approximately 21%. Short sales Approximately 5,600 completed in November 2015 vs. 8,600 in November 2014 a decrease of 35%. Deed in-lieu: Approximately 1,400 completed in November 2015 vs 1,900 completed in November 2014 a decrease of 26%. Foreclosure starts Approximately 47,000 in November 2015 vs. 60,000 in November 2014 a decrease of 22%. Foreclosure sales Approximately 24,000 in November 2015 vs. 28,000 in November 2014 a decrease of 14%. Serious delinquencies Approximately 1.65 million in November 2015 vs million in November 2014 a decrease of 16%. The full data set for November 2015 is available at Eric Selk, Executive Director, issued this statement: As we turn our attention to 2016, our data continues to indicate recovery in the overall housing market. Our November report shows that key trends remain consistent with previous reports. Specifically, foreclosure starts and foreclosure sales completed are at or near pre-crisis norms. Although fewer modifications are being reported, families are receiving assistance through foreclosure alternative solutions such as retention plans and formal repayment plans. This is reflective of an early intervention process that all servicers are employing. The goal is to keep families in their home and respond quickly when someone goes delinquent. Another key indicator of positive market stability is the decline in serious delinquency. HOPE NOW tracks those homeowners who are 60+ days delinquent and we have reported a steady total of about 1.65 million borrowers for the past 5 months. This is a far cry from the nearly 2 million borrowers who were seriously delinquent just 18 months ago. This is a true testament to the hard work of the HOPE NOW Alliance and others, as well as the recent jobs report and economic recovery. Despite overall recovery, we still see isolated markets that need further assistance. HOPE NOW will continue our outreach efforts in 2016 through loss

3 mitigation events, first time homeownership fairs and locally led community housing roundtables. Our first homeowner event of the year will be in Tampa, Florida on February 10 th at the CareerSource Tampa offices. Several of the leading mortgage servicers and HUD approved non-profit counseling agencies will be on-site and provide free assistance to those homeowners in need. HOPE NOW will be focused heavily on Florida this year as we work to help families in hard hit states. HOPE NOW Snapshot Industry Extrapolations and HAMP Metrics Three Month Q Q Q Q Q Sep-15 Oct-15 Nov-15 Total Completed Modifications 113, , , ,552 98,074 31,588 29,910 26,312 HAMP Permanent Modifications 1 29,384 31,751 29,101 35,738 28,748 9,525 7,780 7,691 Proprietary Modifications Completed 2 83,719 76,724 87,650 83,814 69,326 22,063 22,130 18,621 Reduced P&I Modifications (10% or greater) 49,925 46,920 55,595 51,516 40,920 12,858 12,456 10,482 % of Proprietary Modifications 60% 61% 63% 61% 59% 58% 56% 56% Completed Short Sale 31,006 29,102 22,926 23,651 20,555 6,367 6,574 5,614 Deed-In-Lieu 7,017 6,167 5,828 5,344 4,478 1,495 1,513 1,356 Foreclosure Starts 214, , , , ,439 54,477 56,882 47,012 Foreclosure Sales 109,829 96,178 95,790 89,367 75,969 24,622 25,748 24, Days Delinquency 1,950,698 1,932,568 1,854,615 1,736,133 1,631,075 1,659,716 1,667,155 1,652,833 1 Source - Making Home Affordable. Estimated. 2 Extrapolated. Modifications Completed was revised in December 2009 to include Current Modifications and specifically exclude HAMP. *Survey data may be restated from time to time based on servicers' collection and reporting. HOPE NOW reports and extrapolates data. Any data changes will be reflected in monthly reporting.

4 HOPE NOW Total Solutions Industry Extrapolations and HAMP Metrics (July November 2015) "LIFE TO DATE" TOTAL SOLUTIONS "Life to Q3-Q Sep-15 Oct-15 Nov-15 Date" Total Total Solutions 912,671 2,258,603 4,252,078 4,579,587 3,640,540 3,056,234 2,649,630 1,881, , ,522 99,180 24,607,730 HAMP Permanent Modifications 1 N/A N/A 66, , , , , ,898 9,525 7,780 7,691 1,557,514 HAMP Trial Modifications 1 N/A N/A 955, , , , , ,694 7,956 9,088 8,458 2,386,722 Proprietary Modifications Completed 2 206, ,355 1,172,490 1,245, , , , ,134 22,063 22,130 18,621 6,164,265 Other Workout Plans Completed (Non-HAMP) 3 706,431 1,297,248 2,057,649 2,295,780 2,300,883 1,991,383 1,706,108 1,264,789 68,846 69,524 64,410 14,499,229 1 Source - Making Home Affordable. Estimated. Trial modifications that become permanent may be double counted ²HOPE NOW data is extrapolated based on the "MBA Delinquency Survey" for Q MBA estimates that its survey covers approximately 88% of the total industry. HOPE NOW data estimates for November 2015 may increase or decrease slightly when the MBA releases its Delinquency Survey data for Q Extrapolated. Other Workout Plans Completed is comprised of Repayment Plans Initiated (tracked from Q3-2007), Other Retention Plans Completed and Liquidation Plans (tracked from December 2009).

5 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. For more information, visit ###