HUD Mortgagee Letter 2015-21: Automatic Extensions to HUD’s Initiation of Foreclosure Timeline

Investor Update
September 28, 2015

This Mortgagee Letter provides guidance relating to HUD’s regulatory requirement for mortgagees to utilize a Loss Mitigation Option or initiate foreclosure within six months of the date of default. Specifically, this Mortgagee Letter:

  • reiterates the existing eight automatic extensions available to mortgagees when they are unable to initiate foreclosure within the allotted timeframe; and
  • introduces two new automatic extensions to align with the Consumer Financial Protection Bureau’s Regulation X.

 

Source: HUD (Mortgagee Letter 2015-21 full version)