Delinquencies Drop on GSEs’ Foreclosure Prevention Actions

Nearly 3 million homes have been saved from foreclosure since the beginning of the GSEs’ conservatorship in 2008.

According to the Federal Housing Finance Agency, Fannie Mae and Freddie Mac have completed more than 2.9 million foreclosure prevention actions, which have helped more than 2.4 million borrowers stay in their homes.

And, of those more than 2 million homeowners who have benefited from those actions, more than 1.4 million received permanent loan modifications.

The GSEs were busy during the first half of the year, with more than 247,000 foreclosure prevention actions and 117,000 of them occurring in the second quarter.

FHFA’s Federal Property Manager’s Report submitted to Congress Monday also found that the number of Fannie Mae and Freddie Mac delinquent home loans dropped nationally in the second quarter and the 60-plus-days delinquent loans dipped 7 percent during the first quarter.

The effort to keep homeowners in their homes seems to be working. More than half of the troubled homeowners who received permanent loan modifications in the second quarter saw their monthly payments drop by more than 30 percent.

Completed third-party sales and foreclosure sales continued on a downward trend with a 10 percent reduction in the second quarter.

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