Several servicers remain below median performance level as of the first half of the year, as ranked by Fannie Mae's Servicer Total Achievement and Rewards (STAR) Program.[IMAGE]
Fannie Mae announced the STAR Program in February to measure servicers' success in providing sustainable solutions to distressed homeowners.
The mid-year results released Wednesday by the GSE indicate that four out of the 11 banks in Peer Group 1 are[COLUMN_BREAK]
on track to receive at least a three-STAR rating at the end of the year.
Banks are ranked on a five-STAR scale, with three STARs signifying median performance level relative to peers and five STARs signifying superior performance.
Servicers are split into three peer groups based on the number of Fannie Mae loans they service.
Those in Peer Group 1 who are on track to receive at least three STARs are GMAC Mortgage, LLC, Citi Mortgage, Inc., Everhome Mortgage, and Wells Fargo Bank.
In Peer Group 2, six of 10 servicers are on track for a median rating at year-end, including, Fifth Third Bank, The Huntington National Bank, HSBC Mortgage Corporation, Aurora Financial Group Inc., Regions Bank and Central Mortgage Company.
The results for Peer Group 3 have not yet been released and are expected in the next 30 days.
""We are committed to helping stabilize the housing market by requiring servicers to prevent foreclosure whenever possible,"" said Leslie Peeler, Vice President for Servicer Portfolio Management, Fannie Mae.