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FEMA Emergency Declaration Oklahoma Severe Winter Storm

Posted on February 19, 2021February 19, 2021 by Safeguard

FEMA Alert
February 17, 2021

FEMA issued an Emergency Declaration for areas in Oklahoma affected by a severe winter storm beginning on February 8, 2021 and continuing. FEMA is authorized to identify, mobilize, and provide at its discretion, equipment and resources necessary to alleviate the impacts of the emergency. Emergency protective measures for mass care and sheltering and direct federal assistance will be provided at 75% federal funding.

Oklahoma Severe Winter Storm (EM-3555)

FEMA Declared Disaster Oklahoma: ZIP Code List

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

Zombie Property Remediation Bill Proposed in West Virginia

Posted on February 18, 2021May 27, 2021 by Safeguard

Updated 3/29/21: West Virginia Senate Bill 42 was approved by Governor Jim Justice and is scheduled to take effect on June 16, 2021.

WV SB42 Updated Information
Full Bill Text (Enrolled Committee Substitute)

Updated 3/27/21: MetroNews issued a report highlighting the passage of West Virginia Senate Bill 42 in the House and its pending approval by Governor Jim Justice.

‘Zombie property’ Bill Awaits Gov. Justice’s Signature

Legislation Update
February 10, 2021

Source: West Virginia Legislature (SB42 Full Text/Info)

[Introduced February 10, 2021; referred
to the Committee on Economic Development]

A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new section, designated §8-12-22, relating to foreclosure actions involving abandoned properties; authorizing a municipality to commence a proceeding in a court of competent jurisdiction in the county in which the property is located to compel a foreclosure; defining a “vacant and abandoned residential property”; designating the Zombie Property Remediation Act of 2021; and requiring conveyance of the deed following foreclosure.

Be it enacted by the Legislature of West Virginia:

ARTICLE 12. GENERAL AND SPECIFIC POWERS, DUTIES AND ALLIED RELATIONS OF MUNICIPALITIES, GOVERNING BODIES, AND MUNICIPAL OFFICERS AND EMPLOYEES; SUITS AGAINST MUNICIPALITIES.

§8-12-22. Foreclosure actions involving abandoned properties.

(a) This section shall be known and may be cited as the “Zombie Property Remediation Act of 2021”.

(b) If a property has been determined to be unsafe, unsanitary, dangerous, or detrimental to the public safety or welfare pursuant to an ordinance adopted pursuant to §8-12-16 of this code, or determined vacant and abandoned pursuant to §8-12-22(b) of this code, the municipality in which the property is located may commence a proceeding in a court of competent jurisdiction in the county in which the property is located to compel any or all mortgagees to:

(1) If the note is in default, the trustee or mortgagee shall commence a foreclosure procedure within three months and shall meet all deadlines to ensure the case is ready to be moved to judgment within a reasonable time period but not to exceed one year;

(2) If a foreclosure has already been commenced, file the necessary motions and within three months paperwork to move the case to judgment foreclosure within three months; or

(3) Issue a certificate of discharge of the trust deed lien or mortgage within three months and file a satisfaction of the lien or mortgage with the appropriate local office.

(c) (1) As used in this section, vacant and abandoned residential property means residential real property with respect to which the plaintiff has proven, by preponderance of the evidence, that it has conducted at least three consecutive inspections of the property, with each inspection conducted 25 to 35 days apart and at different times of the day, and at each inspection:

(A) No occupant was present and there was no evidence of occupancy on the property to indicate that any persons are residing there; and

(B) The residential real property was not being maintained in a manner that it is in violation of any specific requirement or prohibition applicable to any dwelling, building, or structure provided by the approved building or fire code of the jurisdiction;

To view full bill text, please click the source link above.

FEMA Declared Disaster Alaska Severe Storms, Flooding and Landslides

Posted on February 18, 2021 by Safeguard

FEMA Alert
February 17, 2021

FEMA issued a Presidential Major Disaster Declaration for areas in Alaska affected by severe storms, flooding, landslides and mudslides that took place November 30 to December 2, 2020. The following boroughs/areas have been approved for assistance:

Public Assistance

Chatham Regional Educational Attendance Area (ZIP Codes not currently available)
Haines
Juneau (City and Borough)
Petersburg
Skagway (Municipality)

Alaska Severe Storms, Flooding, landslides and Mudslides (DR-4585)

FEMA Declared Disaster Alaska: ZIP Code List

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

FHFA: Foreclosure Prevention Report – November 2020

Posted on February 17, 2021February 17, 2021 by Safeguard

Investor Update
February 12, 2021

Source: FHFA

November 2020 Highlights — Foreclosure Prevention

The Enterprises’ Foreclosure Prevention Actions:

• The Enterprises completed 107,609 foreclosure prevention actions in November, bringing the total to 5,499,159 since the start of the conservatorships in September 2008. Approximately 44 percent of these actions have been permanent loan modifications.

• There were 2,624 permanent loan modifications in November, bringing the total to 2,437,133 since the conservatorships began in September 2008.

• Fourteen percent of modifications in November were modifications with principal forbearance. Modifications with extend-term only accounted for 68 percent of all loan modifications during the month.

• The number of borrowers who received payment deferrals after completing a COVID-19 related forbearance plan increased from 83,404 in October to 57,133 in November.

• Initiated forbearance plans increased slightly from 58,516 in October to 59,203 in November. The total number of loans in forbearance plans decreased from 922,589 at the end of October to 841,977 at the end of November, representing approximately 2.90% of the total loans serviced, and 69 percent of the total delinquent loans.

• There were 239 short sales and deeds-in-lieu of foreclosure completed in November, down 24 percent compared with October.

The Enterprises’ Mortgage Performance:

• The 30-59 days delinquency rate increased slightly to 1.02 percent, while the serious delinquency rate dropped from 2.99 percent at the end of October to 2.88 percent at the end of November.

The Enterprises’ Foreclosures:

• Third-party and foreclosure sales decreased 19 percent to 602 while foreclosure starts decreased 38 percent to 1,540 in November.

November 2020 Highlights – Refinance Activities

• Total refinance volume rose and continued in record breaking territory in November 2020 as mortgage rates continued to decrease through October. Mortgage rates decreased further in November: the average interest rate on a 30-year fixed rate mortgage fell to 2.77 percent from 2.83 percent in October.

• In November, 19 refinances were completed through the High LTV Refinance Option, bringing total refinances through the High LTV Refinance Option from the inception of the program to 126.

• The percentage of cash-out refinances continued at 26 percent in November from October, after steadily decreasing in earlier months to a low of 25 percent in August. Mortgage rates have continued to fall, creating more opportunities for non cash-out borrowers to refinance at lower rates and lower their monthly payments.

Attachments:

Foreclosure Prevention, Refi, and FPM – November 2020

FHFA: 2021 Fannie Mae and Freddie Mac Scorecard

Posted on February 17, 2021February 17, 2021 by Safeguard

Investor Update
February 16, 2021

Source: FHFA

Washington, D.C. – The Federal Housing Finance Agency (FHFA) today released the 2021 Scorecard for Fannie Mae, Freddie Mac (the Enterprises), and Common Securitization Solutions. The 2021 Scorecard aligns the 2019 Strategic Plan with the Enterprises’ tactical priorities and operations, serving as an essential tool to hold the Enterprises accountable.

“The 2021 Scorecard will ensure that Fannie Mae, Freddie Mac and Common Securitization Solutions properly serve borrowers and renters, protect taxpayers, and support the secondary mortgage market,” said Director Mark Calabria.

The three objectives of the 2021 Scorecard are to ensure that the Enterprises continue to:

Focus on their core mission responsibilities to foster competitive, liquid, efficient, and resilient (CLEAR) national housing finance markets that support sustainable homeownership and affordable rental housing;
Operate in a safe and sound manner appropriate for entities in conservatorship; and
Prepare for their eventual exits from the conservatorships.

Resolution planning requirements are new to the Scorecard in 2021. The Scorecard requires each Enterprise to begin developing a plan to resolve its business in the event the Enterprise were to be placed in receivership, also known as a “living will.” These plans must demonstrate how the Enterprises would preserve their core businesses with neither disruption to housing and finance markets nor utilizing extraordinary support from the Treasury Department or taxpayers. The Enterprises are also expected to implement capital management and capital planning capabilities that transition from the existing Conservatorship Capital Framework to the Enterprise Capital Rule requirements.

Links to 2019 Strategic Plan and 2021 Scorecard

HUD: Additional Key Staff Announcement

Posted on February 17, 2021 by Safeguard

Investor Update
February 16, 2021

Source: HUD

WASHINGTON – Today, U.S. Department of Housing and Urban Development (HUD) Chief of Staff Jenn Jones announced the appointment of new key staff members.

“These talented public servants will be valuable additions to HUD as we work to expand equitable access to housing and help our nation build back better by confronting COVID-19, equitably serving all Americans, creating economic opportunity, and addressing the climate crisis,” said Jones.

Jones announced the following leadership appointees:

• Jim Crawford, Special Assistant to the Deputy Secretary, Office of the Deputy Secretary

• Dan Hardcastle, Special Assistant for Special Projects, Office of the Secretary

• Lopa Kolluri, Principal Deputy Assistant Secretary for Housing, Department of Housing/Federal Housing Administration

• Gina Metrakas, Senior Advisor for Executive Orders and Executive Actions, Office of the Secretary

• Michele Perez, Assistant Deputy Secretary for Field Policy and Management, Office of Field Policy and Management

Winter Storm Uri Spawns Destructive Southern Tornadoes

Posted on February 16, 2021 by Safeguard

Disaster Alert
February 16, 2021

Source: The Weather Channel

Approximate location (according to media outlets) sustaining structural damage:

Georgia

– Damascus (Early County, 31741, 39841)

North Carolina

– Grissettown (Brunswick County, 28469)
– Ocean Isle Beach (Brunswick County, 28467, 28469)
*Concentrated home damage reported in the Ocean Ridge Plantation Community

At a Glance

Homes were destroyed and one person was injured in Damascus, Georgia, by a tornado.
Three people were injured in Panama City Beach, Florida.
Winter Storm Uri battered the South Monday.

The tornado hit the Ocean Ridge Plantation area in Brunswick County, North Carolina, at about 11:50 p.m. Monday night, Brunswick County officials said.

Several homes were destroyed and several others were “severely” damaged. In all, at least 50 homes were affected, according to a news release from Bruswick County Emergency Services.

For full report, please click the source link above.

USDA: Foreclosure and Eviction Moratorium Extended

Posted on February 16, 2021February 16, 2021 by Safeguard

Investor Update
February 16, 2021

Source: USDA

The purpose of this notice is to provide relief to and guidance for Single Family Housing Guaranteed Loan Program (SFHGLP) borrowers impacted by the COVID-19 pandemic.

Moratorium on Foreclosures and Evictions:

The U.S. Department of Agriculture (USDA) Rural Development is extending its moratorium on foreclosures and evictions through June 30, 2021 for SFHGLP properties. After the moratorium ends, if the lender decides to proceed with foreclosure, the time for initiating or continuing foreclosure proceedings is extended from 90 days (as specified in 7 CFR 3555.307(a)) to 180 days. The moratorium does not apply in cases where the servicer has documented the property is vacant or abandoned.

Forbearance Policy:

For borrowers who request an initial forbearance on or before June 30, 2021, lenders are expected to grant payment forbearance based on a borrower’s attestation (verbal or written) to financial hardship caused by the COVID-19 emergency. The initial forbearance period may be up to 180 days and the borrower may request an extension of up to an additional 180 days.

Borrowers who received an initial CARES Act forbearance before June 30, 2020, may be granted up to two additional three-month payment forbearances. The borrower must request each extension individually.

The term of the initial forbearance and any extension may be shortened at the borrower’s request.

Fees, penalties, or interest (beyond the amounts calculated as if the borrower had made all contractual payments in a timely fashion) should not accrue during the forbearance.

Upon completion of the forbearance the lender should communicate with the borrower and determine if they are able to resume making regular contractual payments. If so, the lender may offer the borrower either a written re-payment plan to resolve any amount due or at the borrower’s request, evaluate the borrower for one of the three options outlined in Chapter 18.15 of the Handbook-1-3555.

Questions regarding program policy and this guidance may be directed to the National Office Division at sfhglpServicing@usda.gov or (202) 720-1452.

Help Resources

Policy Questions
Customer Service Center
Phone: 866-550-5887
Single Family Housing Guaranteed Loan Division
Phone: 202-720-1452

USDA ITS Service Desk Support Center
For e-Authentication assistance
Email: eAuthHelpDesk@ftc.usda.gov
Phone: 800-457-3642, option 1 (USDA e-Authentication Issues)

Rural Development Help Desk
For GUS system, outage or functionality assistance
Email: RD.HD@STL.USDA.GOV

Phone: 800-457-3642, option 2 (USDA Applications); then option 2 (Rural Development)

VA: Circular 26-21-05: Extended COVID-19 Foreclosure and Eviction Relief

Posted on February 16, 2021 by Safeguard

Investor Update
February 16, 2021

Source: VA

Additional Resource:

Circular 26-21-04: Approving Forbearance Requests for Veterans Affected by COVID-19

1. Background and Purpose. Under chapter 37 of title 38, United States Code, and Executive Orders related to the COVID-19 national emergency, VA has taken numerous steps to help Veterans who are experiencing financial hardships, directly or indirectly, as a result of the COVID-19 pandemic. The purpose of this Circular is to extend foreclosure and eviction relief on properties secured by VA-guaranteed loans, including those previously secured by VA-guaranteed loans but currently in VA’s Real Estate Owned (REO) portfolio.

2. Moratorium on Foreclosure and Eviction. Due to the ongoing COVID-19 national emergency and its impact on Veteran borrowers, all properties secured by VA-guaranteed loans, including those previously secured by VA-guaranteed loans but currently in VA’s REO portfolio, are subject to a moratorium on foreclosure and eviction through June 30, 2021. Except with respect to a vacant or abandoned property, the moratorium applies to the initiation of foreclosures, the completion of foreclosures in process, and evictions.

3. Questions. Any questions regarding this Circular should be submitted via email to
valerihelpdesk.vbaco@va.gov.

4. Rescission: This Circular is rescinded July 21, 2021.

By Direction of the Under Secretary for Benefits

Jeffrey F. London
Executive Director, Loan Guaranty Service

HUD: Extensions and Expansions of COVID-19 Homeowner Relief

Posted on February 16, 2021February 17, 2021 by Safeguard

Investor Update
February 16, 2021

Source: HUD

Additional Resource:

Mortgagee Letter (ML) 2021-05

FHA INFO #21-09: Extensions of Single Family Foreclosure and Eviction Moratorium, Start Date of COVID-19 Initial Forbearance, and Home Equity Conversion Mortgage (HECM) Extension Period; Expansion of COVID-19 Loss Mitigation Options

Extensions and expansions support the immediate and ongoing needs of homeowners who are experiencing economic impacts related to the COVID-19 pandemic.

WASHINGTON – To provide urgent economic relief to homeowners impacted by COVID-19, today the U.S. Department of Housing and Urban Development (HUD) announced extensions of the Federal Housing Administration’s (FHA) foreclosure and eviction moratoriums, as well as an extension of the initial start date of a COVID-19 Forbearance. Forbearance is an option mortgage servicers use to provide homeowners with a pause to their monthly payments for a limited period of time during a COVID-19 induced hardship.

The FHA has extended the length of forbearance for some borrowers, and will allow more borrowers access to COVID-19 loss mitigation options. These measures will provide relief to the nation’s homeowners with FHA-insured single family mortgages who continue to suffer financially because of the COVID-19 pandemic.

Additionally, the Office of Public and Indian Housing is planning to announce similar relief for Native American and Native Hawaiian homeowners assisted under the Section 184 Indian Home Loan Guarantee Program and the Section 184A Native Hawaiian Housing Loan Guarantee Program.

HUD’s actions align with President Biden’s priority to provide economic relief and support to working families by providing urgently-needed housing relief for homeowners and renters.

“As President Biden has made clear, it is urgent that we help homeowners throughout the nation who are struggling financially from this unprecedented national emergency,” said Acting HUD Secretary Matthew Ammon. “The steps we are taking today will provide both immediate relief to those in desperate need of assistance and help more homeowners keep their homes and resume their payments when the pandemic subsides.”

The extension of the foreclosure and eviction moratoriums applies to all homeowners with an FHA-insured forward or Home Equity Conversion Mortgage (HECM) loan, and homeowners with a Section 184 or Section 184A mortgage loan, except for properties that are legally vacant or abandoned, through June 30, 2021. HUD prohibits servicers from initiating or proceeding with foreclosure and foreclosure-related eviction actions during the moratoriums. HUD also extended the deadlines for the first legal action and reasonable diligence timeframes for servicers to 180 days from the date of expiration of the foreclosure and eviction moratorium.

To address the ongoing need to expand mortgage payment assistance solutions for homeowners, for all FHA-insured forward mortgages, today HUD:

• Extended the timeframe for homeowners to request the start of a COVID-19 Forbearance from their mortgage servicer through June 30, 2021. This extension provides homeowners with additional time to request a forbearance from their mortgage servicer.

• Expanded the COVID-19 Forbearance to allow up to two forbearance extensions of up to three months each for homeowners who requested a COVID-19 Forbearance on or before June 30, 2020. These additional forbearance extensions will provide relief to homeowners in this situation who will be nearing the end of their maximum 12-month forbearance period and have not yet stabilized their financial situation.

• Expanded the use of FHA’s streamlined COVID-19 loss mitigation home retention and home disposition options to all homeowners who are behind on their mortgage payments by at least 90 days. This expansion will require mortgage servicers to assess more homeowners for a streamlined waterfall of loss mitigation home retention options, starting with FHA’s COVID-19 Standalone Partial Claim.

To assist seniors with HECMs, FHA has extended the timeframe for the start of an initial COVID-19 HECM extension through June 30, 2021. For HECMs that entered an initial extension period on or before June 30, 2020, up to two additional three-month extension periods are available.

HUD urges all homeowners who are able to make their mortgage payments to continue to do so. However, homeowners who need COVID-19 mortgage payment assistance should contact their mortgage servicer immediately or consider contacting a HUD-approved housing counseling agency. Homeowners may also visit HUD’s Coronavirus Relief for Homeowners web page or HUD’s COVID-19 Resources for Native Americans webpage for additional information and resources.

Homeowners and renters can visit consumerfinance.gov/housing for up-to-date information on their relief options, protections, and key deadlines.

ARTICLE 12. GENERAL AND SPECIFIC POWERS, DUTIES AND ALLIED RELATIONS OF MUNICIPALITIES, GOVERNING BODIES, AND MUNICIPAL OFFICERS AND EMPLOYEES; SUITS AGAINST MUNICIPALITIES.

November 2020 Highlights — Foreclosure Prevention

The Enterprises’ Foreclosure Prevention Actions:

The Enterprises’ Mortgage Performance:

The Enterprises’ Foreclosures:

November 2020 Highlights – Refinance Activities

Contacts:

Georgia

North Carolina

At a Glance

Moratorium on Foreclosures and Evictions:

Forbearance Policy:

Help Resources

Extensions and expansions support the immediate and ongoing needs of homeowners who are experiencing economic impacts related to the COVID-19 pandemic.