Freddie Mac Extends Evictions, Foreclosure Suspension in Hurricane Sandy Major Disaster Areas

Freddie Mac Extends Evictions, Foreclosure Suspension in Hurricane Sandy Major 
Disaster Areas 
MCLEAN, VA -- (Marketwire) -- 01/31/13 --  In an effort to give
families and communities affected by Hurricane Sandy more time to
recover, Freddie Mac (OTC: FMCC) announced that it is extending its
mandatory suspension of evictions and foreclosures involving homes
secured by mortgages owned or guaranteed by Freddie Mac through April
30, 2013. The extensions build on Freddie Mac's November 13
announcement of storm relief for borrowers with homes or places of
employment located 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. 
Since Hurricane Sandy struck the Northeast, Freddie Mac has been
continuously providing relief and support to borrowers and
communities across the affected region. Freddie Mac staff are working
on-site with hundreds of families at local borrower outreach events
and training housing counselors on Freddie Mac's disaster relief
options for borrowers. Freddie Mac has joined forces with local
non-profit organizations and federal, state and local government task
forces and commissions to expedite mortgage assistance and provide
resources, including the short-term use of suitable REO homes as
rental housing. 
News Facts:
 After consultation with the Federal Housing Finance
Agency, Freddie Mac is extending its disaster relief policies to
authorize mortgage servicers to: 


 
--  Automatically suspend for 90-days eviction lockouts and foreclosure
    sales involving Freddie Mac owned-or guaranteed mortgages secured by
    homes in eligible disaster areas.
--  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.
--  Expedite the distribution of insurance proceeds on storm damage claims
    to speed up repairs of storm-damaged homes.
--  Extend forbearance and repayment plans for up to 12 months on a
    case-by-case basis without prior Freddie Mac approval. Freddie Mac
    strongly encourages borrowers in eligible disaster areas to contact
    their servicers to discuss their situation.

  
Today's announcement builds on Freddie Mac's standard disaster relief
policies, which also instruct 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: 
"Extending our policies is common sense given the extent of Hurricane
Sandy's impact on borrowers and servicers. By working together with
servicers and non-profit organizations we can help drive the recovery
now underway in neighborhoods across the region." 
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.  
CONTACT:
BRAD GERMAN
703-903-2645
Brad_German@freddiemac.com