According to Cnn and New York Times articles, mortgage rescue efforts face several hurdles.
Loan servicers are "overwhelmed by a flood of applications" according to the Cnn article. The administration's guidelines were issued on March 4, but it has taken servicers many weeks to implement their programs. "Many did not even start accepting applications until early-to mid-April..." Servicers may take many weeks to process an request for modification.
Investors in mortgage backed securities are angry about congressional bills providing loan servicers a certain "safe harbor" from suit based on mortgage modifications. Mortgage servicers may be otherwise limited in their ability to modify mortgages due to their contracts with the investors. Investors argue that servicers already have some flexibility to modify mortgages.