Tag Archives: Foreclosure Moratorium

Fannie Mae and Freddie Mac will suspend evictions as the holiday season approaches.

Foreclosure sales decreased in all five Western states tracked by PropertyRadar--Arizona, California, Nevada, Oregon, and Washington--over the month of May. PropertyRadar attributes the decreases in foreclosure sales to new guidance from the Office of the Comptroller of the Currency. The guidance established minimum standards for handling borrower files subject to a foreclosure sale within 60 days. In California, foreclosure sales from Citi were down 50 percent, and foreclosure sales from Wells Fargo were down 75 percent over the month of May in California, according to PropertyRadar.

National foreclosure inventory fell to 3.2 percent in April, its lowest level in four years, according to Lender Processing Services' Mortgage Monitor report. The report also revealed a hike in foreclosure sales in judicial states, which stimulated the decline in the national foreclosure inventory. Foreclosure sales in judicial states jumped 17 percent over the month of April and reached their highest level since 2010 when foreclosure moratoria and process reviews brought the foreclosure process to a near halt across the nation, LPS stated.

The five banks that took part in the national mortgage settlement are getting close to completing their consumer relief obligations a year after the landmark deal was reached. So far, the five banks--Bank of America, JPMorgan Chase, Wells Fargo, Citigroup, and Ally Financial--have provided $50.63 billion in consumer relief to over 621,700 borrowers, according to an update from the settlement monitor Joseph A. Smith, Jr. The provided relief comes out to about $81,437 per borrower.

Foreclosure inventory seems to be making a comeback after experiencing steady declines following the national mortgage settlement, RealtyTrac revealed in a report Thursday. In the first quarter of 2013, the number of properties that were in the foreclosure process or bank-owned rose 9 percent year-over-year to 1.5 million, according to data from the online foreclosure marketplace. The most recent figure represents a 12 percent increase from the five-year low seen in May 2012. The report also found 35 percent of the homes in the foreclosure process were abandoned by the homeowner.

More than half of the nation's largest metros experienced an upturn in foreclosure activity in 2012 compared to 2011, according to a report from RealtyTrac. RealtyTrac observed foreclosure trends in 212 markets with a population of 200,000 or more and found 120 markets, or 57 percent, displayed an increase in foreclosure activity from 2011. Meanwhile, out of the 20 largest metros, 12 experienced a slowdown in foreclosure activity.

Homeowners in foreclosure who were also impacted by Hurricane Sandy will get another 90 days of relief from a foreclosure sale or pending eviction, announced Federal Housing Administration (FHA), Fannie Mae, and Freddie Mac.

As servicers rise out of the paralysis caused by regulatory issues, they are able to take necessary steps to clear out aging loans in shadow inventory, according to a report from Moody's Investors Service. In the report, Moody's revealed the number of loans in foreclosure shadow inventory, or loans in the process of foreclosure but with no resolution, decreased from Q2 to Q3, with the exception of jumbo loans from Citi and subprime loans from Bank of America.

Foreclosures declined in 2012 compared with the previous year, but RealtyTrac expects this year to be ""book-ended by two discrete jumps in foreclosure activity,"" according to the firm’s latest report released Thursday. Foreclosure filings were doled out to 1.84 million homes in 2012, which is 3 percent fewer homes than in 2011 and 36 percent below the foreclosure peak in 2010 when 2.9 million properties received foreclosure filings. In December, foreclosure activity fell 10 percent month-over-month to a 68-month low.

Foreclosure inventory in November fell as requirements from the national mortgage settlement ""influence the pace of first-time foreclosure starts,"" Lender Processing Services (LPS) stated in a recent report. Foreclosure inventory shrunk to 3.51 percent in November, a near 10 percent decline from September 2012. LPS explained the settlement requires the servicers to provide a 14 day notice before referring borrowers to foreclosure, and the letters were sent starting in September. However, as servicers get up to speed on settlement requirements, LPS says it expects foreclosure starts to rebound in the coming months.