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Freddie Mac Suspends All Evictions, Foreclosures In Hurricane Sandy Major Disaster Areas



  Freddie Mac Suspends All Evictions, Foreclosures In Hurricane Sandy Major
                                Disaster Areas

Company Preparing Steps to Expedite Forbearances, Repairs with Insurance
Proceeds

PR Newswire

MCLEAN, Va., Nov. 9, 2012

MCLEAN, Va., Nov. 9, 2012 /PRNewswire/ -- Freddie Mac (OTC: FMCC) announced
that, after consultation with the Federal Housing Finance Agency, it is taking
additional steps as part of its commitment to help borrowers affected by
Hurricane Sandy including the immediate and mandatory suspension of evictions
and foreclosures on homes secured by Freddie Mac owned-or guaranteed mortgages
in eligible disaster areas.  The new policy changes are scheduled to go to
mortgage servicers next week and build on Freddie Mac's October 30
announcement of storm relief for borrowers with homes in presidentially
declared Major Disaster Areas where federal Individual Assistance programs are
available.  Freddie Mac is one of the nation's largest investors in
residential mortgages.

News Facts:
Freddie Mac is revising its disaster relief policies to authorize mortgage
servicers to:

  o Automatically suspend for 90-days evictions and foreclosure sales for
    borrowers with homes secured by Freddie Mac owned-or guaranteed mortgages
    and located in eligible disaster areas borrowers are still encouraged to
    contact their servicers to discuss their situation.  Freddie Mac disaster
    policies enable servicers to extend forbearance and repayment plans for up
    to 12 months on a case-by-case basis without prior Freddie Mac approval.
  o Authorize servicers to verbally grant 90-day forbearances to all borrowers
    in eligible disaster areas, including borrowers with mortgages modified
    under the Home Affordable Modification Program (HAMP) or who are currently
    in a HAMP or Standard Modification Trial Period Plan.
  o Expedite the distribution of insurance proceeds on storm damage claims to
    speed up repairs of storm-damaged homes.

The additional disaster policy changes are scheduled to go to Freddie Mac
servicers in a Guide Bulletin next week:

Additionally, Freddie Mac will maintain pricing that was in place at the time
of the storm for mortgages that are secured by homes in eligible disaster
areas and delivered through Freddie Mac's bulk guarantor channel.

Today's announcement builds on Freddie Mac's October 30 announcement of
Hurricane Sandy relief policies which also instructed servicers to waive late
fees or penalties against borrowers with disaster-damaged homes; and not
report forbearance or delinquencies caused by the disaster to the nation's
credit bureaus.

News Quote:

Attributable to Tracy Mooney, Senior Vice President of Single-Family Servicing
and Real Estate Owned at Freddie Mac

"Given early assessments of Hurricane Sandy's devastating impact, we are
preparing steps that will authorize automatic and immediate action by the
nation's mortgage servicers to help more borrowers with mortgages owned or
guaranteed by Freddie Mac.  These steps are intended to provide borrowers with
peace of mind and help lay the groundwork for a faster recovery in the
neighborhoods and communities affected by the storm."

For more information on mortgage payment relief, homeowners should contact
their mortgage servicer – the company to which they send their monthly
mortgage payment – or call Freddie Mac at 800-FREDDIE.  Borrowers can
determine if Freddie Mac owns their mortgage by using our loan look-up tool at
https://ww3.freddiemac.com/corporate. Freddie Mac's general disaster relief
policies are posted online at
http://www.freddiemac.com/singlefamily/service/disastermgmt.html.

Freddie Mac was established by Congress in 1970 to provide liquidity,
stability and affordability to the nation's residential mortgage markets.
Freddie Mac supports communities across the nation by providing mortgage
capital to lenders. Today Freddie Mac is making home possible for one in four
homebuyers and is one of the largest sources of financing for multifamily
housing. www.FreddieMac.com.

SOURCE Freddie Mac

Website: http://www.freddiemac.com
Contact: Brad German: +1-703-903-2645, Brad_German@freddiemac.com
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