FHA Issues Guidance on Property Preservation Expenses

Industry Update
March 30, 2022

Source:  National Mortgage News

The Department of Housing and Urban Development issued a mortgagee letter aimed at clarifying contingencies around property protection and preservation reimbursement for loans that have a first legal foreclosure action filed on or after March 31.

Confirmed as excluded from reimbursable P&P costs in addition to those deemed “unreasonable” by Federal Housing Administration handbook definition are real estate taxes and hazard insurance premiums, according to the letter published March 29. The letter also provides information about the boundaries for the period during which work is reimbursable.

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

Thompson says FHFA is Preparing GSEs for End of Conservatorship

Industry Update
April 1, 2022

Source:  Reporter Wings

The Federal Housing Finance Agency is preparing the government-sponsored enterprises for life after conservatorship, acting director Sandra Thompson said Thursday.

During an interview with Dennis Shea, head of the Bipartisan Policy Center’s Terwilliger Center for Housing Policy, Thompson said the agency is conducting the first pricing review for Fannie Mae and Freddie Mac products since 2015 to make sure they are generating viable returns while still supporting affordability in the mortgage market. The pricing review is part of a multi-step process to unwind the GSEs from government control, she explained.

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

Top 10 U.S. Housing Markets with Greatest Number of Foreclosure Starts in February 2022

Industry Update
March 25, 2022

Source:  ATTOM

ATTOM’s February 2022 U.S. Foreclosure Market Report revealed that lenders started the foreclosure process on 16,545 U.S. properties in February 2022. That figure was up 40 percent from January 2022 and 176 percent from February 2021.

According to ATTOM’s latest foreclosure activity analysis, those states that saw the greatest numbers of foreclosures starts in February 2022 included: California (1,868 foreclosure starts); Florida (1,527 foreclosure starts); Texas (1,488 foreclosure starts); Illinois (1,168 foreclosure starts); and Ohio (1,144 foreclosure starts).

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

New York Law Provides Additional Criteria for Determining if a Property is Vacant or Abandoned

Legislation Update
April 4, 2022

Source: New York State Senate (NY SB 7792 full text)

New York Senate Bill 7792 was signed into law by the Governor on March 18, 2022.  The bill adds additional criteria to the current law under RPAPL 1307 for determining whether properties can be deemed vacant or abandoned.  The criteria, as amended, are:

  • A court determines that the property is vacant, including in response to a lawful tenant’s filed complaint
  • The municipality in which the property is located deems the property vacant, including in response to a lawful tenant’s filed complaint
  • All owners have indicated in writing that they have abandoned all rights to the property
  • A lawful tenant of the property has filed a complaint with the plaintiff in a mortgage foreclosure action, alleging that the owner is no longer maintaining the property, and
    • The plaintiff posts a reasonably visible notice at the property advising that the property has been deemed abandoned and that the owner must contact the plaintiff at the number on the notice, indicating that the owner still occupies or claims the right to occupy the property, and
    • The owner does not contact the plaintiff within one week of the posting

Once the property has been deemed vacant or abandoned, the plaintiff has the right to enter the property to perform inspections, repairs, and other maintenance work as needed.  If the property is occupied by a tenant, at least a 7 day notice is required to the tenant advising when repairs will be made.  If emergency repairs are required, reasonable notice to the tenant is required.  If any of the above criteria is not met, and a plaintiff enters a property, a financial penalty may be incurred, to be paid the owner or tenant of a property.

 

For full bill text, please click the source link above.

Fintech Firm Seeks to Modernize Appraisal Process

Industry Update
March 22, 2022

Source:  mpamag.com

Last year’s acquisition of CubiCasa by Clear Capital, a national real estate valuation technology company, was just one step in the firm’s overall mission to modernize the appraisal process, a top official told Mortgage Professional America.

“We’ve been on a multi-year journey – certainly in earnest over the past three years – to modernize and digitize the appraisal process,” Kenon Chen, executive vice president of corporate strategy, told MPA. “We’ve been highly involved in collaborating with industry participants, lenders, the GSEs [government-sponsored enterprises] on finding ways to better digitize the property inspection process and bring in opportunities to speed up the appraisal process while increasing quality.”

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

FEMA Major Disaster Declaration – Washington Severe Winter Storms, Straight-line Winds, Flooding, Landslides, and Mudslides

FEMA Alert
March 29, 2022

FEMA has issued a Major Disaster Declaration for the state of Washington to supplement state, tribal, and local recovery efforts in the areas affected by severe winter storms, straight-line winds, flooding, landslides, and mudslides from January 1-15, 2022.  The following counties have been approved for assistance:

Public Assistance:

  • Chehalis Indian Reservation
  • Cowlitz
  • Franklin
  • Grays Harbor
  • Hoh Indian Reservation
  • Jefferson
  • Klickitat
  • Lewis
  • Mason
  • Nisqually Indian Reservation
  • Pacific
  • Quinault Indian Reservation
  • Shoalwater Bay Reservation
  • Skagit
  • Skamania
  • Skokomish Indian Reservation
  • Squaxin Island Indian Reservation
  • Swinomish Indian Reservation
  • Thurston
  • Upper Skagit Indian Reservation
  • Wahkiakum

 

Washington Severe Winter Storms, Straight-line Winds, Flooding, Landslides, and Mudslides (DR-4650-WA)

President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Washington

Map of Affected Areas

Zip Codes of Affected Areas

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

FEMA Major Disaster Declaration – Puerto Rico Severe Storms, Flooding, and Landslides

FEMA Alert
March 29, 2022

FEMA has issued a Major Disaster Declaration for the Commonwealth of Puerto Rico to supplement Commonwealth and local recovery efforts in the areas affected by a severe storms, flooding, and landslides from February 4-6. 2022.  The following counties have been approved for assistance:

Individual Assistance:

  • Catano (Municipio)
  • Dorado (Municipio)
  • Toa Baja (Municipio)
  • Vega Alta (Municipio)
  • Vega Baja (Municipio)

 

Puerto Rico Severe Storm, Flooding, and Landslides (DR-4649-PR)

President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Puerto Rico

Map of Affected Areas

Zip Codes of Affected Areas

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

Mortgage Rates Approach 5% as Fed Tightens and Inflation Rattles Bond Markets

Industry Update
March 29, 2022

Source:  Forbes

U.S. mortgage rates approached 5% on Friday, the highest daily average in more than four years, as war-worsened inflation fears spooked financial markets and the Federal Reserve ended a two-year emergency program that boosted demand for bonds containing home loans.

The average locked rate for a 30-year fixed mortgage eligible to be backed by Fannie Mae and Freddie Mac – the most common form of home financing – rose to 4.87% on Friday, the highest since late 2018, after rising a third of a percentage point in a week, according to data from Optimal Blue. The average 30-year jumbo rate increased to 4.4%, the highest since 2019.

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

Freddie Mac: Mortgage Serious Delinquency Rates Decreased in February

Industry Update
March 25, 2022

Source:  Calculated Risk

Freddie Mac reported that the Single-Family serious delinquency rate in February was 0.99%, down from 1.06% in January. Freddie’s rate is down year-over-year from 2.52% in January 2021.

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

Detroit Land Bank Authority Expects its Remaining Structures to be Listed for Sale by 2023

Industry Update
March 17, 2022

Source:  Detroit Free Press

The Detroit Land Bank Authority, an entity responsible for selling vacant homes and lots in the city,  expects to sell most of its structures by the end of 2023.

Spokeswoman Alyssa Strickland told the Free Press in an email “people doubted the DLBA could do this, but over the last eight years, we’ve proven not only that we can sell houses and target residential blight, but that we’re able to successfully do it at a speed that’s unprecedented anywhere in the country.”

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

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CEO

Alan Jaffa

Alan Jaffa is the Chief Executive Officer for Safeguard Properties, steering the company as the mortgage field services industry leader. He also serves on the board of advisors for SCG Partners, a middle-market private equity fund focused on diversifying and expanding Safeguard Properties’ business model into complimentary markets.

Alan joined Safeguard in 1995, learning the business from the ground up. He was promoted to Chief Operating Officer in 2002, and was named CEO in May 2010. His hands-on experience has given him unique insights as a leader to innovate, improve and strengthen Safeguard’s processes to assure that the company adheres to the highest standards of quality and customer service.

Under Alan’s leadership, Safeguard has grown significantly with strategies that have included new and expanded services, technology investments that deliver higher quality and greater efficiency to clients, and strategic acquisitions. He takes a team approach to process improvement, involving staff at all levels of the organization to address issues, brainstorm solutions, and identify new and better ways to serve clients.

In 2008, Alan was recognized by Crain’s Cleveland Business in its annual “40-Under-40” profile of young leaders. He also was named a NEO Ernst & Young Entrepreneur Of The Year® Award finalist in 2013.

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Esq., General Counsel and EVP

Linda Erkkila

Linda Erkkila is the General Counsel and Executive Vice President for Safeguard Properties, with oversight of legal, human resources, training, and compliance. Linda’s broad scope of oversight covers regulatory issues that impact Safeguard’s operations, risk mitigation, strategic planning, human resources and training initiatives, compliance, insurance, litigation and claims management, and counsel related to mergers, acquisition and joint ventures.

Linda assures that Safeguard’s strategic initiatives align with its resources, leverage opportunities across the company, and contemplate compliance mandates. She has practiced law for 25 years and her experience, both as outside and in-house counsel, covers a wide range of corporate matters, including regulatory disclosure, corporate governance compliance, risk assessment, compensation and benefits, litigation management, and mergers and acquisitions.

Linda earned her JD at Cleveland-Marshall College of Law. She holds a degree in economics from Miami University and an MBA. Linda was previously named as both a “Woman of Influence” by HousingWire and as a “Leading Lady” by MReport.

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COO

Michael Greenbaum

Michael Greenbaum is the Chief Operating Officer of Safeguard Properties, where he has played a pivotal role since joining the company in July 2010. Initially brought on as Vice President of REO, Mike’s exceptional leadership and strategic vision quickly propelled him to Vice President of Operations in 2013, and ultimately to COO in 2015. Over his 14-year tenure at Safeguard, Mike has been instrumental in driving change and fostering innovation within the Property Preservation sector, consistently delivering excellence and becoming a trusted partner to clients and investors.

A distinguished graduate of the United States Military Academy at West Point, Mike earned a degree in Quantitative Economics. Following his graduation, he served in the U.S. Army’s Ordnance Branch, where he specialized in supply chain management. Before his tenure at Safeguard, Mike honed his expertise by managing global supply chains for 13 years, leveraging his military and civilian experience to lead with precision and efficacy.

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CFO

Joe Iafigliola

Joe Iafigliola is the Chief Financial Officer for Safeguard Properties. Joe is responsible for the Control, Quality Assurance, Business Development, Marketing, Accounting, and Information Security departments. At the core of his responsibilities is the drive to ensure that Safeguard’s focus remains rooted in Customer Service = Resolution. Through his executive leadership role, he actively supports SGPNOW.com, an on-demand service geared towards real estate and property management professionals as well as individual home owners in need of inspection and property preservation services. Joe is also an integral force behind Compliance Connections, a branch of Safeguard Properties that allows code enforcement professionals to report violations at properties that can then be addressed by the Safeguard vendor network. Compliance Connections also researches and shares vacant property ordinance information with Safeguard clients.

Joe has an MBA from The Weatherhead School of Management at Case Western Reserve University, is a Certified Management Accountant (CMA), and holds a bachelor’s degree from The Ohio State University’s Honors Accounting program.

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Business Development

Carrie Tackett

Business Development Safeguard Properties