MFI-Miami Blog

Mortgage Servicers Ignoring Demands From FHFA That They Offer Homeowners Coronavirus Mortgage Relief Are Mortgage servicers ignoring demands from FHFA Director Mark Calabria? Believe it or not, they are and the FHFA is not happy. Calabria along with Fannie Mae and Freddie Mac leadership was forced to notify mortgage servicers of their obligations to their customers affected by the Coronavirus pandemic. Calabria told the media last week: For borrowers that may be experiencing hardship, I encourage you to reach out to your servicer.  FHA is also is taking steps to aid borrowers. Especially borrowers who are struggling to make mortgage payments due to the COVID-19 pandemic: FHA’s suite of loss mitigation options provides solutions that mortgagees should offer to distressed borrowers to help prevent them from going into foreclosure. Read more at MFI-Miami  

FHFA Director Mark Calabria Threatens To Wipe Out Fannie And Freddie Shareholders To End GSE Conservatorship FHFA Director Mark Calabria said he’s willing to wipe out Fannie Mae and Freddie Mac shareholders to end the government conservatorship. Shareholders include retirement funds and pension funds. Fannie Mae and Freddie Mac also back about half of the nation’s mortgages.  Calabria took charge of FHFA in January . He replaced Mel Watt Calabria told the House Financial Services Committee: I’m working for the taxpayers. If the circumstances present themselves where we have to wipe out the shareholders, we will. Calabria told Congress in the Tuesday hearing: I’m on the record as saying in 2008 what we should have done is wipe out the shareholders. Instead, they were put into conservatorship. The government received new senior preferred stock and common stock warrants. The government took a 79.9% stake in the GSEs as collateral for the bailout. Read more at MFI-Mi...