Loss mitigation

The mounting costs of protracted mortgage forbearance


The FHFA’s forbearance extension to September is forcing nonbank servicers to buy out more delinquent loans. It's also upended loss estimates for investors and made racial and income disparities in the mortgage market worse.



FHFA announces further extension of COVID-related mortgage relief


The agency will allow an additional three months of forbearance for loans backed by Fannie Mae and Freddie Mac, giving homeowners up to 18 months to suspend payments due to the pandemic.


N.Y. appeals court sides with lenders in foreclosure case


The decision provides more clarity to noteholders in the state about when the six-year statute of limitations to bring a foreclosure action begins.


Panel of regulators flags financial stability risks from pandemic


The economic fallout from COVID-19 has highlighted systemic concerns about commercial real estate exposure, business debt and short-term wholesale funding, the Financial Stability Oversight Council said in an annual report.


CFPB gives mortgage servicers relief to help struggling homeowners


A new CFPB rule will expedite the forbearance and loss-mitigation process for consumers suffering financial hardship from the pandemic.


How lenders are preparing for a wave of loan modifications


With no way of knowing just how many borrowers will need the mods after the coronavirus forbearance period ends, lenders are deploying artificial intelligence and servicing protocols to tame the ferocious piles of paperwork awaiting them.


CFPB offers templates for banks, servicers to seek 'no-action' letters


The templates are meant to make it easier to obtain agency approval for small-dollar loan products and to accommodate mortgage servicers that want to provide online loss mitigation options.


CFPB, other agencies post website for consumers seeking housing relief


The joint site describes potential strategies for both homeowners and renters economically affected by COVID-19.