Mortgage insurer Genworth Financial (GNW: 13.34 -1.19%) saved billions of dollars worth of mortgages from foreclosure in 2010 by partnering with lenders and servicers to craft solutions for distressed borrowers, the company said.
The mortgage insurer saved $6.6 billion by finding modification plans for distressed loans. That's up from $2.6 billion in 2009, and an increase of 153%.
"Our foreclosure prevention efforts continue to relieve the burden for borrowers faced with difficult financial decisions," said Alan Goldberg, vice president of Homeowner Assistance for Genworth's U.S. mortgage insurance business. "We doubled the number of workouts from 2009 to nearly 40,000 workouts at the conclusion of 2010."
The states with the most workouts included California, $777 million in loan workouts; Florida, $627 million; Illinois, $436 million; New York, $374 million; Georgia, $333 million; Arizona, $321 million; New Jersey, $301 million; Texas, $277 million; North Carolina, $220 million; and Maryland, $212 million.
More than one-third of the workouts were handled through the government's Home Affordable Modification Program. The remaining loans were handled through loan modifications (36%), repayment plans (12%) and short sales (7%).