Fannie Mae, Freddie Mac Reach Short Sale and Deed-in-Lieu Agreements with Mortgage Insurers
November 1, 2012
Fannie Mae and Freddie Mac announced that it has reached delegation agreements with all of their mortgage insurer counterparties so that servicers can complete short sales and deeds-in-lieu of foreclosure without seeking approval from the insurers. These agreements will further streamline the foreclosure prevention process and allow short sales and deeds-in-lieu to be completed more efficiently.
These agreements have been established with CMG Mortgage Insurance Company, Essent Guaranty, Inc., Genworth Mortgage Insurance Corporation, Mortgage Guaranty Insurance Corporation, PMI Mortgage Insurance Co., Radian Guaranty Inc., Republic Mortgage Insurance Company, Triad Guaranty Insurance Corporation, and United Guaranty Mortgage Insurance Company. All agreements are effective as of Nov. 1.
Through the first six months of 2012, Fannie Mae completed 142,987 loan workout solutions, including 46,226 short sales and 7,509 deeds-in-lieu of foreclosure. Earlier this year, Fannie Mae announced new short sale guidelines and new short sale timelines.
Click here to view the Freddie Mac Guide Bulletin announcing the changes.