Fannie Mae Announces Temporary Halt Of Foreclosure Sales and Evictions
Freddie Mac has ordered its national network of mortgage servicers and foreclosure attorneys to suspend all foreclosure sales and evictions involving occupied single family and 2-4 unit properties with Freddie Mac-owned mortgages between November 26, 2008 and January 9, 2009. This suspension will support the implementation of the Streamlined Modification Program recently announced by Freddie Mac, Fannie Mae, the Federal Housing Finance Agency (FHFA), HOPE Now and 27 mortgage servicers. The suspension period also provides servicers with more time to work with borrowers to help them avoid foreclosure.
How does this affect homeowners associations? Some argue this suspension could be very bad for associations since lenders are delaying their responsibility for common area expenses. Others believe it is a step forward in addressing the systemic issues driving the increase in foreclosures. What will your association do?