Does anyone have a good email address for Freddie Mac disputes? I just sent one to
fmbh@freddiemac.com but was notified that delivery failed. Have a foreclosure date a week out, any assistance would be most helpful. Thank you!
freddie (8)
Hi Everyone. I am negotiating a short sale where the first is a Freddie Mac serviced by Nationstar and the second lien holder is Cenlar. Cenlar wanted a $43K payoff and I negotiated down to a bottom line of $12K. The Freddie Mac guideline is to pay no more than $6,000 to the second lien holder. The buyer had agreed to reduce the closing cost credit by $3,000 and both agents will be pitching in $1500.00 to come up with the other $6,000. I had a new HUD done and sent it to Nationstar. They are refusing to allow this to take place. Nationstar said that these are Freddie Mac's guidelines and that we will not be allowed to pay Cenlar any more than $6000 --period. No contributions will be allowed.
Has anyone been able to get around this situation? If so, how did you do it? Anyone have any creative ideas?
I have escalated this with Freddie Mac and should be talking with a case manager within the next few days, but the supervisor I talked with today for over an hour said that Freddie Mac will not bend these rules.
Thank you for any ideas!
Suzanne Martin
I was researching the latest bulletins from both Fannie Mae and Freddie Mac and the keys to both are 90 days delinquent and less than 620 credit score. What happens when a borrower is more than 90 days delinquent and has a credit score of less than 620?
- Borrowers are NOT REQUIRED (my emphasis) to make a cash contribution/promissory note
- Servicer is NOT REQUIRED (again my emphasis) to obtain or review the Borrower Response Package (aka short sale package)
Good news for folks looking to short sale their home. Any distressed borrowers who need help in Broward county or surrounding areas in Florida please contact me!
Great news for our military members!!
June 21, 2012
Washington, DC – Federal Housing Finance Agency (FHFA) Acting Director Edward J. DeMarco today announced changes to short sale policies that will make it easier for military homeowners with Fannie Mae and Freddie Mac loans to honor their financial commitments when they are required to move as part of their duty.
Under the new policy Fannie Mae and Freddie Mac will not pursue a deficiency judgment or any cash contribution or promissory note from members of the military with a change in duty station for any property purchased on or before June 30, 2012. Service members must have a Fannie Mae or Freddie Mac loan to be eligible.
Improvements and more improvements have been the recurring case for the government sponsored enterprises Freddie Mac and Fannie Mae. Although these GSE’s (Government Sponsored Enterprise) had a slow start in finding the right solutions for the housing crisis we are facing, the momentum for improvements via federal guidelines have picked up speed. The Goal: Get through distressed properties quickly to catalyze the housing recovery. How? Streamline their short sales. Let’s explore new and improved federal guidelines these GSE’s will implement on November 1st.
Click the links below to see if your mortgages are backed by Freddie Mac or Fannie Mae:
Freddie Mac or Fannie Mae
Please read this concise document from FHFA.GOV HERE for the new Fannie and Freddie Guidelines and eligibility requirements.
Notes on new FHFH Guidelines:
- A significant change for starters is homeowners being eligible for a short sale without being in default or at risk of imminent default. If the homeowner is able to show hardship and back it up with proper documents, a short sale is now possible. Note that it is not only for those who are relocating due to current or new employment (this may be confusing).
- The right to pursue deficiency waiver for monetary exchange or promissory note applies to those who have sufficient income or assets. Even then, if you have a solid negotiator and/or short sale team, you can walk away from the property with little liability.
- For those who are in serious financial distress (missed several payments and have low credit scores), a short sale will be more streamlined as documents required to show hardship has been reduced or eliminated.
In the past, the GSE’s guideline alterations were not received well by many professionals in the real estate community. However, these new changes presented by the FHFA were well received by U.S. Realtors and an international credit rating agency. This includes the National Association of Realtors who said, “Making the short sale process go more smoothly will help avoid foreclosure and keep homes occupied.”
Peter
Washington, DC - The FHFA is seeking financial recovery from recently filed lawsuits according to its press release today. It went on to say, "at this time, it would be premature and potentially misleading to estimate the size of any potential recoveries" and that "press reports that FHFA is seeking nearly $200 billion in damage are excessive."
Washington, DC -- The Federal Housing Finance Agency (FHFA), as conservator for Fannie Mae and Freddie Mac (the GSEs), today filed lawsuits against 17 financial institutions, certain of their officers and various unaffiliated lead underwriters. The suits allege violations of federal securities laws and common law in the sale of residential private-label mortgage-backed securities (PLS) to the Enterprises.
There are 17 separate suits all relating to mortgage origination and mortgage-backed securitization. Being separate actions the allegations vary from case to case. Here's a sampling of allegations:
- Loan-to-Value Data Was Materially False
- Owner Occupancy Data Was Materially False
- The Originators of the Underlying Mortgage Loans Systematically Disregarded Their Underwriting Guidelines
- Failure To Conduct Proper Due Diligence
- Defendants Incentivized to Fund Risky Residential Mortgage Loans
- Material Misrepresentations and Omissions in the Offering Materials
- Fraud
Read more - including List of Lead Defendants.
So you've probably heard that Freddie Mac is once again asking for federal aid. They showed a $4.1 billion loss in the third quarter and are now requesting another $100 million in aid. All told, it's estimated that the bailouts will cost taxpayers $259 billion. 
As an agent that focuses largely on short sales, I continually see the ways that Freddie Mac gets in their own way. They are asking for this aid, but they have put themselves i
nto the situation that requires aid. I have had several files where we sent in a short sale offer that was rejected because Freddie Mac felt it was too low. I felt it was a very good offer, but Freddie's rejection sent the file into foreclosure. Don't they understand that foreclosing on a home is exponentially more expensive than a short sale? They are putting themselves in a situation that results in an even greater loss, therefore resulting in their need for a bailout. Their own greed is their downfall, and that of us the taxpayers. These bailouts need to stop because they are only hurting the people paying the bills.
I sent a letter to both my local representative and Barney Frank, who is a member of the House Committee of Financial Services, asking them to deny Freddie's bailout. They've had enough chances and are only in their situation because of their own making. Send letters to your representatives as well and voice your opinion!
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