Let Valuation Tech Help Improve Your Collateral Valuation

Join this webinar to learn how technological advancements in valuation provide solutions to help lenders and servicers deliver more comprehensive offerings to their clients.

Talking proptech with FinLedger Director Holden Page

In this episode, Page discusses the hottest topics coming across FinLedger’s news desk. Topics include: the online banking market, what’s happening in the proptech space and recent private market deals.

engage.marketing 2021

We brought together the smartest minds in purchase marketing to share the insights, tactics and strategies that set the leaders apart. Watch the sessions on-demand now!

How Rocket Pro TPO continues to give its broker partners the upper hand

To remain competitive and create a better experience in this purchase environment, brokers need one thing above all: Speed. And there’s one lending partner that has the solutions and resources to give LOs just that.

MortgageReal Estate

FHFA extends forbearance for rental properties

Forbearance for Fannie Mae and Freddie Mac mortgages was set to expire June 30

The Federal Housing Finance Agency (FHFA) has extended forbearance options for multifamily properties through the end of September.

The options to put off debt payments for federally-backed multifamily properties had been slated to expire at the end of June. The regulator also extended protections for tenants that property owners must adhere to in order to access forbearance.

In a prepared statement, FHFA director Mark Calabria drew attention to the uneven pandemic recovery. Job losses in the service industry sector severely impacted renters, while those who have been able to maintain their jobs remotely have fared much better.

“While Covid-19 cases are declining and many homeowners continue to emerge from forbearance, many renters, who are unable to benefit from rising home prices, have not financially recovered from the pandemic,” said Calabria.

Homebuyers who were able to snag homes in more affordable areas during the pandemic have lowered their housing costs even further, a recent Redfin study found.


How proactive communication can reduce the risk of foreclosure

As borrowers impacted by COVID-19 continue to exit mortgage forbearance, now is the time for lenders and servicers to be proactive in their borrower outreach to reduce foreclosure volume.

Presented by: Computershare Loan Services

FHFA made it clear that federal forbearance options include some caveats for property owners, in the form of protections for tenants.

While their debt payments are on hold, property owners must notify their tenants of those protections.

During forbearance, property owners can’t evict tenants solely for non-payment of rent. Landlords also can’t charge late fees or penalties for non-payment of rent. They must also give tenants flexibility to repay the rent over time, not necessarily in a lump sum. If property owners do evict, they must give tenants at least a month’s notice to leave.

More than 11 million Americans are estimated to be behind on their rent, and minorities are at a higher risk for eviction than White renters, according to data from the Private Equity Stakeholder Project.

As of Freddie Mac’s most recent report, there are 1,154 securitized loans in forbearance, representing about 2.1% of the GSE’s total securitized unpaid principal balance. For those whose forbearance has ended, more than 82% by loan count are currently making payments or have fully repaid the money owed. Requests for new or additional forbearance have dropped to just a handful in recent months, the GSE said.

Tenants, who are often in the dark about the financing of the building where they rent, can use the respective GSE property lookup tools to find out whether their building is federally backed.

Leave a comment

Most Popular Articles

Will we ever see a “normal” housing market again?

The question on everyone’s minds: When will this hot housing market cool down? Arch MI investigates this and more in its Spring Housing and Mortgage Market Review.

Jun 22, 2021 By

Latest Articles

TitleWave launches Colorado branch

TitleWave Real Estate Solutions of Florida has announced a new location in Colorado, as well as the launch of its title and search report technology.

Jun 24, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please