WASHINGTON, D.C. (Realtor.org)
– Fannie Mae has implemented new measures that will require mortgage
servicers to act more quickly and consistently in helping troubled homeowners
avoid foreclosure.
“We want homeowners to be able to understand their options when facing
foreclosure, and we want servicers to reach homeowners early in the process,
communicate frequently and clearly, and help homeowners avoid
foreclosure,” said Jeff Hayward, senior vice president of Fannie Mae’s
national servicing organization.
Among the changes, mortgage servicers will be required to:
- contact
homeowners verbally and in writing within 120 days after a loan first
becomes delinquent; - complete
a loan modification or other option that keeps the borrower in their home
or helps the borrower avoid the foreclosure process; - follow
a clear timeline if foreclosure is unavoidable and begin the
foreclosure process once a loan has been delinquent for more than 120
days; and - make
it clear when a property in the foreclosure process will be sold.
