Fannie Mae and Freddie Mac Help 2.7 Million with Foreclosure Prevention Actions
Report Shows Delinquencies Dropped in Fourth Quarter
Washington, DC – March 27, 2013 – (RealEstateRama) – Fannie Mae and Freddie Mac completed more than 540,000 foreclosure prevention actions during 2012 with 130,000 in the fourth quarter alone. This brings the total foreclosure prevention actions to nearly 2.7 million since the start of conservatorship in 2008, including more than 1.3 million permanent loan modifications. These actions, which have helped more than 2.2 million borrowers stay in their homes, are detailed in the Federal Housing Finance Agency’s fourth quarter 2012 Foreclosure Prevention Report, also known as the Federal Property Manager’s Report.
The quarterly report has information on state delinquencies and an updated, interactive Borrower Assistance Map for Fannie Mae and Freddie Mac mortgages, with information on delinquencies, foreclosure prevention activities and Real Estate Owned (REO) properties.
Also noted in the report:
? The number of Fannie Mae and Freddie Mac delinquent borrowers declined 14 percent in 2012 as mortgage delinquencies dropped in every state except New Jersey and New York.
• Foreclosures continued a downward trend with foreclosure starts in the fourth quarter falling to the lowest level since the third quarter of 2008.
? 46 percent of troubled borrowers who received loan modifications in the fourth quarter had their monthly payments reduced by more than 30 percent.
? More than one-third of loan modifications completed in the fourth quarter included principal forbearance.
? Over 32,600 short sales and deeds-in-lieu were completed in the fourth quarter, bringing the total for 2012 to nearly 141,500.
? REO inventory continued to decline as property dispositions outpaced property acquisitions during the fourth quarter.
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The Federal Housing Finance Agency regulates Fannie Mae, Freddie Mac and the 12 Federal Home Loan Banks.
These government-sponsored enterprises provide more than $5.7 trillion in funding for the U.S. mortgage markets and financial institutions.
Contact:
Corinne Russell (202) 649-3032
Stefanie Johnson (202) 649-3030
