A record 1.53 million properties were in the foreclosure process -- default notices, auction sale notices and bank repossessions -- during the first six months of 2009. That was 9% more than the previous six months and 15% more than the same period of 2008, according to a report released Thursday by RealtyTrac. There were a total of 1.91 million filings resulting in 1 out of every 84 U.S. properties receiving at least one filing in the first half of the year. Banks repossessed 386,800 properties. "What this means is, despite the intensity of the efforts on the part of government and lenders we don't have a handle on foreclosures yet," said Rick Sharga, a spokesman for RealtyTrac."

And the government is making things worse...

Not only are government programs not making an impact. In their efforts to crack down on loan mod scams, they are making it harder for legitimate companies to help those in trouble. Many originators and others are starting to shy away from this industry because of government intervention.

Tuesday, July 21: Loan Modifications: The Solution is based on a non-profit model. This is the greatest housing crisis of our generation. Millions of people are going into foreclosure and may never be able to purchase a home again. Yet, even though loan modifications are a solution, there are several drawbacks. For one, most clients in trouble don’t have large sums of money to pay upfront fees for someone to represent them. Secondly, the government is racing to regulate this process and warn clients not to pay these fees even if they have the money.