- an additional $100 payment for each Special Forbearance Agreement executed on or after January 1, 2007
- an automatic (i.e., would not require written approval from HUD) extension of two additional months to continue to market their properties related to Pre-Foreclosure Sale time frames
- an increase in the reimbursement of foreclosure costs from two thirds to 75 percent for Part B claims received by HUD on or after January 1, 2007, for loans endorsed on or after February 1, 1998.
HUD Touts Loss Mitigation Leaders
The U.S. Department of Housing and Urban Development is now publicizing the efforts of its lenders to work with troubled borrowers, announcing the most recent results of its Tier Ranking Scores (TRS) late last week. The announcement represents the first time HUD has published its list of Tier One lenders and their associated loan workout ratios, with the most recent round of scores coveringÂ fiscal year 2006. Among high-volume lenders servicing more than 100,000 loans, Chase Home Finance, Midland Mortgage, National City, and Wells Fargo posted the highest workout ratios. Among medium high-volume lenders servicing 10,000 to 100,000 loans, Bank of America, Cenlar and Doral Financial led the way with the best workout ratios. The total list of Tier One-ranked lenders numbered 110 for the most receent round of scores (see below for an extended list of Tier One lenders). Lenders ranked in Tier 1 are recognized by HUD as peer leaders in loan workouts and are eligible for additional loss mitigation incentives on HUD-sponsored loans, including: