Fannie Mae and Freddie Mac shareholders may finally get some modest compensation for FHFA’s decision to allow Treasury to seize all of the profits of the government-sponsored enterprises.
Lenders argue that the cumulative cost of verification of income and employment, especially the electronic kind, is unreasonable and should be scrutinized by FHFA.
The Foreclosure Abuse Prevention Act, signed into law in 2022, blocks lenders from avoiding New York’s six-year statute of limitations on foreclosures by simply canceling the foreclosure. New language in Fannie’s loan modification agreement may negate FAPA’s block.
Appraisers have dramatically reduced the use of prohibited words in their valuations, a sign Fannie has made strides in limiting bias against protected classes.
The Urban Institute, with funding from the National Fair Housing Alliance, has developed resources lenders can use to launch special purpose credit programs.
The Fed could start cutting rates in June, according to projections by industry analysts. The Fed is also moving toward slowing the runoff of its holdings of Treasury securities and MBS.