Freddie Mac Suspends Foreclosure Evictions During Holiday Season

December 1, 2010 No Comments »

holidays

Government mortgage financier Freddie Mac announced today that it will again suspend evictions this holiday season.

From December 20 to January 3, all evictions involving foreclosed, occupied single family and 2-4 unit properties that have associated Freddie Mac mortgages will be suspended.

“If the property is occupied, our foreclosure attorneys will suspend the eviction to provide a greater measure of certainty to families during the holidays,” said Anthony Renzi, Executive Vice President of Single Family Portfolio Management at Freddie Mac, in a release.

Freddie Mac currently owns nearly 25 percent of all single-family mortgages outstanding nationwide, but only accounts for roughly 10 percent of seriously delinquent loans (90 days or more past due).

The nationwide average for completion of a foreclosure on a delinquent mortgage owned or guaranteed by Freddie is currently 449 days, and borrowers who are foreclosed on are behind on their mortgage payments by an average of well over a year.

The company has completed 132,000 loan modifications through the first nine months of this year, exceeding the 114,000 that were foreclosed on during that time.

I’m assuming Fannie Mae will follow suit, and other individual mortgage lenders could get on-board as well, especially with all the lingering robosigning business still out there.

It could actually improve the image of mortgage lenders while giving them time to get their foreclosure processes in line.

Leave A Response