LAS VEGAS -- Slightly more than 5,000 Nevadans have seen any relief on their mortgages from a landmark settlement with the nation's five biggest banks.
According to a report released Wednesday, very few Nevada homeowners got any relief between March and June of this year. The report, released by the monitor overseeing the settlement, puts that number at slightly more than 5,000. Barely 100 homeowners have scored principal reductions. To date, Bank of America, one of Nevada's largest lenders, hasn't completed any.
The report did point out that Nevada has fared better than most of the hardest hit states under the settlement. More Nevada homeowners have been helped per capita than Arizona, California or Florida. The agreement with the nation's five largest banks requires they provide more than $10 billion in consumer relief. In exchange, the federal government and attorneys general from 49 states stopped their investigations into widespread foreclosure fraud. Nevada Attorney General Catherine Cortez Masto initially balked at the deal before signing on. She said it is still too early to tell whether the banks are living up to the deal.
"I'm cautiously optimistic because I was looking at the Nevada numbers and you can see that they are engaging. These five banks are engaging in some form of foreclosure alternatives. It is predominantly short sales that they're looking at across our state, but we're going to continue to monitor that," Cortez Masto said.
As Cortez Masto noted, short sales account for the vast majority of relief to Nevadans, so far. There has been more than $470 million worth of debt waivers.
It's important to point out the numbers are a self report by the banks and have not yet been verified for their accuracy. Verification will happen in November.