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FHLMC September 10th Bulletin |
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Monday, 10 September 2007 |
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Included in the Bulletin are the following servicing amendments.
- Discontinuation of the three-zone methodology we established in the February 10, 2006 Bulletin for servicing mortgages owned by Freddie Mac. Effective October 1, 2007 Servicers no longer need to obtain Freddie Mac approval for the following activities based solely on the location of the property: initiating or resuming foreclosure and completing any lender-initiated property preservation work other than re-keying one entrance to a property under certain conditions.
- Effective October 1, 2007, Servicers should follow Guide requirements (Guide chapter 58, sections 67.12 and 67.28, and chapter 68) for managing properties that are distressed or are impacted by a disaster.
Extending the expiration date for the remaining previously announced temporary servicing requirements in the eligible Disaster Areas to December 31, 2007, including:
- Temporary credit reporting requirements
- Streamlined underwriting requirements for loan modifications
- Delegations of approval for short-payoffs
- Continuing to extend forbearance based on an individual assessment, and continued suspension of requirements related to borrower documentation collection when determining eligibility for long-term forbearance
- Temporary requirements for Electronic Default Reporting
- Temporary payment history relief for borrowers requesting cancellation of borrower-paid mortgage insurance
Reminding Servicers of factors to consider when extending forbearance, and our requirements for waiving prepayment penalties. Servicers should review Freddie Mac's Guide requirements for managing distressed properties or properties impacted by a disaster. These requirements can be found in Guide chapters 67 and 68.
To view the Bulletin in its' entirety, please click here.
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Safeguard Properties is the largest privately held field services company in the country. Located in Cleveland, OH and founded in 1990 by Robert Klein, Safeguard has grown from a regional preservation company with a few employees and a handful of contractors performing services in the Midwest, to a national company with over 425 employees. Safeguard is supported by a nationwide network of subcontractors able to perform any requested superintendence, preservation, and maintenance functions, as well as numerous ancillary services in the U.S., the Virgin Islands, and Puerto Rico
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