Tag Archives: Delinquent Mortgage Loans

Click through to learn why a new report looking at year-end delinquencies and foreclosure rates mostly rings a positive note for the industry.

Fannie Mae has put its fourth Community Impact Pool for sale via auction—a smaller pool of geographically-focused, high occupancy loans marketed specifically for participation from non-profits and MWOBs.

At the end of the third quarter of 2015, the bank’s LAS unit was handling about 107,000 delinquent loans, according to the bank’s Q3 earnings statement released earlier in October.

Bank of America is offering five pools of residential mortgage loans for sale totaling $1.2 billion that range in status from current to modified to non-performing.

Aged foreclosure inventory, which is comprised of residential mortgage loans in active foreclosure that are at least two years delinquent, has seen significant improvement in the last seven months, according to Black Knight Financial Services' May 2015 Mortgage Monitor released Monday.

While the demand for high-quality mortgage-backed securities has been slow since the housing crisis, Fitch said that more major institutional buyers that are hungry for new, higher-yielding investment opportunities have emerged as suitors for bulk NPL pools. Previously, distressed mortgage buyers tended to be specialized alternative investment firms.

Fannie Mae just announced last week that it is in the process of marketing its first-ever bulk sale of non-performing loans. Bids are due for this bundle of NPLs, worth about $786 million, on May 6 and the sale is expected to close in mid- to late June – but there could be more similar sales coming later.

Fannie Mae announced on Thursday that it will begin offering up for sale pools of non-performing single-family mortgage loans to interested buyers in an effort to clear out deeply delinquent loans from its portfolio.

Freddie Mac's conservator, the Federal Housing Finance Agency (FHFA), is requiring Freddie Mac and its fellow GSE, Fannie Mae, to reduce the number of non-performing residential loans in their portfolios. This will be Freddie Mac's third sale of nonperforming loans since last summer. In August, the Enterprise sold a bundle of NPLs totaling $596 million and one in February that covered $392 in UPB. Sales of NPLs by the two Enterprises generally include loans that are seriously delinquent, which are those that are 90 days or more past due.

Since HUD began SFLS in 2010, it has resolved 38,385 out of 79,029 non-performing loans through various means, a total of 49 percent. Out of those resolved loans, 16,706 of the borrowers (21 percent of the non-performing total and 43.5 percent of the resolved loans) avoided foreclosure through either paying the loans current, forbearance agreements, paying the loan in full, a short sale, a third-party sale, or a deed-in-lieu of foreclosure.