Just four percent of the 728,000 homeowners in trial modifications have been made permanent. That means their mortgage rates have been permanently reduced to what everyone hopes will be affordable levels.
But the U.S. Treasury Department remains convinced the program is on track to meet its goals.
Housing advocates like the California Reinvestment Coalition remain concerned.
"This is a reflection on the poor performance, the failure of the loan servicers to help people as they say they would, to help people as they should, to help people as the HAMP program would require," said Kevin Stein from the California Reinvestment Coalition.
The coalition is calling for legislation allowing bankruptcy judges to order loan modifications for qualifying homeowners.
