Default-Servicing News reported last Friday that Fannie Mae will offer payment reduction and forbearance assistance to second home owners and investors, much like it has been offering for some time now to primary homeowners.
“Mortgage giant Fannie Mae said this week that it will retire its HomeSaver Forbearance (HSF) program and replace it with a new Payment Reduction Plan (PRP), which will extend the benefit to investors and owners of second homes.
Under HSF, which was introduced by the GSE in February of last year, mortgage payments can be reduced for up to six months for owner-occupants having trouble meeting their financial obligation. The PRP would make the same kind of mortgage relief available to property owners who do not live in the home.”
This could have the effect of reducing the foreclosure rate for Ocean City and Ocean Pines area homes and condominiums since Fannie has now included properties which comprise much of our market to their program.
We will see how this plays out in the coming months. The full article –
http://www.dsnews.com/articles/fannie-offers-mortgage-forbearance-to-investors-2009-10-23
