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Tropical Storm Isaias Impacts Multiple U.S. Regions

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Updated 2/4/21: FEMA issued a Presidential Major Disaster Declaration for areas in Maryland affected by Tropical Storm Isaias from August 3-4, 2020.

Maryland Tropical Storm Isaias (DR-4583)

Updated 1/13/21: FEMA issued an update to a Presidential Major Disaster Declaration for areas in New Jersey affected by Tropical Storm Isaias on August 4, 2020.

New Jersey Tropical Storm Isaias (DR-4574 Amendment 1)

Updated 1/13/21: FEMA issued an update to a Presidential Major Disaster Declaration for areas in North Carolina affected by Hurricane Isaias from July 31 to August 4, 2020.

North Carolina Hurricane Isaias (DR-4568 Amendment 1)

Updated 1/12/21: FEMA issued a Presidential Major Disaster Declaration for areas in Connecticut affected by Tropical Storm Isaias on August 4, 2020.

Connecticut Tropical Storm Isaias (DR-4580)

Updated 12/11/20: FEMA issued a Presidential Major Disaster Declaration for areas in New Jersey affected by Tropical Storm Isaias on August 4, 2020.

New Jersey Tropical Storm Isaias (DR-4574)

Updated 12/2/20: FEMA issued an update to a Presidential Major Disaster Declaration for areas in Delaware affected by Tropical Storm Isaias from August 4-7, 2020.

Delaware Tropical Storm Isaias (DR-4566 Amendment 1)

Updated 11/3/20: FEMA issued an update to a Presidential Major Disaster Declaration for areas in New York affected by Tropical Storm Isaias on August 4, 2020.

New York Tropical Storm Isaias (DR-4567 Amendment 2)

Updated 10/14/20: FEMA issued a Presidential Major Disaster Declaration for areas in North Carolina affected by Hurricane Isaias from July 31 to August 4, 2020.

North Carolina Hurricane Isaias (DR-4568)

Updated 10/2/20: FEMA issued an update to a Presidential Major Disaster Declaration for areas in Delaware affected by Tropical Storm Isaias from August 4-7, 2020.

Delaware Tropical Storm Isaias (DR-4566 Amendment)

Updated 9/10/20: FEMA issued a Presidential Major Disaster Declaration for areas in Puerto Rico affected by Hurricane Isaias from July 29-31, 2020.

Puerto Rico Hurricane Isaias (DR-4560)

Updated 8/6/20: FEMA issued an Emergency Declaration for areas in Connecticut affected by Tropical Storm Isaias on August 4, 2020.

Connecticut Tropical Storm Isaias (EM-3535)
FEMA Emergency Declaration Connecticut: ZIP Code List

Included Tribal Areas:
Mashantucket Pequot Tribe (New London County, 06338)
Mohegan Tribe of Indians (New London County, 06382)

Updated 8/5/20: Patch.com published a report outlining major creek/river flooding in Pennsylvania resulting from Tropical Storm Isaiais.

Perkiomen Creek Floods to All-Time Historic High Levels

Approximate impacted locations include:

– Collegeville (Montgomery County, 19426, 19473)
– Eastwick/Southwest Philadelphia (Philadelphia County, 19154)
– Graterford (Montgomery County, 19426)
– Manayunk (Philadelphia County, 19127)
– Norristown (Montgomery County, 19401, 19403, 19404, 19405, 19406, 19407, 19408, 19409)
– Parkwood Manor/Northeast Philadelphia (Philadelphia County, 19154)
– Schwenksville (Montgomery County, 19473)
– Skippack (Montgomery County, 19474)
Additional Media: https://www.nbcphiladelphia.com/weather/stories-weather/isaias-philadelphia-region-tropical-storm-rain-wind/2490160/

Updated 8/5/20: The Weather Channel published a report offering a full recap on Hurricane Isaias, which impacted a large portion of the U.S. Southeast, Mid-Atlantic and Northeast.

Hurricane Isaias Recap: Northeast Lashing Follows a North Carolina Landfall, a Florida Grazing, and Puerto Rico Soaking

Approximate locations sustaining structural damage:

Building Collapse
New York
– 204 Bedford Ave., Brooklyn (Kings County, 11249)

Fire
North Carolina
– Ocean Isle Beach (Brunswick County, 28469)
*Driftwood Ave. (four fires) East 4th St. (one fire)
*One property identified as 16 Driftwood Ave.
Media: https://www.wect.com/2020/08/03/multiple-fires-spark-ocean-isle-beach-isaias-moves-shore/

Flooding
Delaware
– Dover (New Castle County, 19901, 19902, 19903, 19904, 19905, 19906)
Media: https://www.nbcphiladelphia.com/news/local/tracking-high-winds-tornadoes-tractor-trailers-flipped-over-in-de/2490388/

Maryland
– Elkton (Cecil County, 21921, 21922)
Media: https://patch.com/maryland/perryville/flooded-houses-submerged-vehicles-prompt-rescues-cecil-county
– North East (Cecil County, 21901)
Media: https://www.wbaltv.com/article/north-east-being-evacuated-for-flooding/33512504

North Carolina
– Ocean Isle Beach (Brunswick County, 28469)
– Oak Island (Brunswick County, 28465)

Pennsylvania
– Alsace Township (Berks County, 19522)
– Darby Borough (Delaware County, 19023)
– Eastwick/Southwest Philly (Philadlephia County, 19153)
– North Coventry Township (Chester County, 19465)
– Upper Darby (Delaware County, 19082)
Media: https://www.fox29.com/news/reports-of-widespread-flooding-across-delaware-valley-as-isaias-dumps-rain

South Carolina
– Cherry Grove (Horry County, 29582)
Media: https://wpde.com/news/local/cherry-grove-neighbors-inundated-by-isaias-storm-surge-homes-flooded
– Garden City (Horry County, 29576)

Tornado
Delaware
– Bear (New Castle County, 19701)
*High winds
*Concentrated home damage in Brennan Estates
– Dover (New Castle County, 19901, 19902, 19903, 19904, 19905, 19906)
Media: https://www.nbcphiladelphia.com/news/local/tracking-high-winds-tornadoes-tractor-trailers-flipped-over-in-de/2490388/

Maryland
– Mardela Springs (Wicomico County, 21837)
Media: https://wjla.com/news/local/multiple-tornadoes-reported-in-maryland-as
– Ocean City (Worcester County, 21842, 21843)
*Wind damage

Massachusetts
– Springfield (Hampden County, 01101, 01102, 01103, 01104, 01105, 01106, 01107, 01108, 01109, 01111, 01115, 01118, 01119, 01128, 01129, 01138, 01139, 01144, 01151, 01152, 01199)
– Worcester (Worcester County, 01601, 01602, 01603, 01604, 01605, 01606, 01607, 01608, 01609, 01610, 01612, 01613, 01614, 01615, 01653, 01655)
*Wind damage
Media: https://www.masslive.com/coronavirus/2020/08/storm-tracker-massachusetts-widespread-wind-damage-more-than-180000-customers-without-power-as-tropical-storm-isaias-rolls-through.html

New Jersey
– Marmora/Upper Township (Cape May County, 08223)

New York
*Wind damage
– Garden City/Long Island (Nassau County, 11530)
-South Shore/Staten Island (Nassau County, 10306, 10307, 10308, 10309, 10312)
Media: https://abc7ny.com/hurricane-isaias-long-island-tropical-storm-track-radar-map/6353608/ 

North Carolina
– Leland (Brunswick County, 28451)
– Oak Island (Brunswick County, 28465)
– Southport (Brunswick County, 28461)
*Wind damage
– Town Creek (Brunswick County, 28451)
– Windsor (Bertie County, 27983)
Media: https://www.wral.com/it-s-bad-sheriff-says-person-killed-10-homes-destroyed-in-bertie-county-tornado/19218597/

Pennsylvania
– Doylestown (Bucks County, 18901, 18902)
– Parkwood Manor/Northeast Philly (Philadelphia County, 19154)
– Worcester Township (Montgomery County, 19490)
Media: https://6abc.com/nj-tornado-isaias-delaware-pa/6354353/

Virginia
– Courtland (Southampton County, 23837)
– Suffolk (23432, 23433, 23434, 23435, 23436, 23437, 23438, 23439)
– White Stone (Lancaster County, 22587)
*Little Bay Community
Media: https://www.wric.com/weather/weather-photos/photos-tropical-storm-isaias/

Updated 8/4/20: The Weather Channel published a report outlining the latest details associated with Tropical Storm Isaias, which is tracking up the U.S. East Coast after making landfall in North Carolina as a Category 1 hurricane.

Tropical Storm Isaias Racing Through the Northeast, Spreading Damaging Winds, Flooding Rain and Tornadoes

Updated 8/3/20: The Weather Channel published a report outlining the latest details associated with Tropical Storm Isaias, which is expected to restrengthen into a hurricane and make landfall in the Carolinas over the next several hours.

Hurricane Warning Issued as Tropical Storm Isaias Takes Aim at Carolinas, East Coast

Updated 8/3/20 New Jersey Governor Phil Murphy issued a statewide emergency declaration in anticipation of Tropical Storm Isaias.

Governor Murphy Declares State of Emergency in Response to Hurricane Isaias
Associated County ZIP Code List

Updated 8/2/20: FEMA issued an Emergency Declaration for areas in North Carolina affected by Hurricane Isaias beginning July 31, 2020 and continuing.

North Carolina Hurricane Isaias (EM-3534)
FEMA Emergency Declaration North Carolina: ZIP Code List

Updated 8/2/20: The Weather Channel published a report outlining the latest details associated with Hurricane Isaias, which has weakened into a tropical storm and will track close to Florida’s eastern coast before impacting the Carolinas and New England.

Isaias Tracking Near South Florida This Morning. New Tropical Storm Watches and Warnings Issued in Carolinas

Updated 8/1/20: FEMA issued an Emergency Declaration for areas in Florida affected by Hurricane Isaias beginning July 31, 2020 and continuing.

Florida Hurricane Isaias (EM-3533)
FEMA Emergency Declaration Florida: ZIP Code List

Updated 8/1/20: The Weather Channel published a report outlining the latest details associated with Hurricane Isaias, which is expected to impact portions of Florida within the next several hours.

Hurricane Isaias Is Moving Through Bahamas and Will Approach Florida Later Saturday; Will Track Up East Coast Next Week

Areas of Florida currently under a hurricane warning/watch:

Hurricane Warning
– Boca Raton to the Flagler/Volusia County Line

Hurricane Watch
– South Florida (from Boca Raton to Hallandale Beach)

Updated 7/31/20: Emergency declarations in anticipation of Hurricane Isaias have been issued by governors in Florida, North Carolina and Virginia.

Florida
FirstCoast News (Florida Gov. DeSantis to Discuss Hurricane Isaias at Florida Division of Emergency Management)
Associated County ZIP Code List (19 Counties)

North Carolina
NC Governor Roy Cooper (Governor Cooper Declares Emergency as North Carolina Prepares for Hurricane Isaias)
Associated County ZIP Code List (Statewide)

Virginia
Virginia Governor Ralph S. Northam (Governor Northam Declares State of Emergency in Advance of Hurricane Isaias)
Associated County ZIP Code List (Statewide)

Updated 7/31/20: The Weather Channel published a report outlining the latest details associated with Hurricane Isaias, which is expected to impact portions of Florida within the next 24 hours.

Isaias Prompts Hurricane Watch for Parts of Florida Ahead of Strengthening in Bahamas, Track Up East Coast

Hurricane Isaias to Strengthen in the Bahamas and Will Track Near Florida, East Coast Into Next Week

Additional Resource:

Florida Eastern Coast County ZIP Code List

Areas of Florida currently under watches/warnings:

Tropical Storm Warning
– Florida Peninsula (Miami, Fort Lauderdale, West Palm Beach)

Hurricane Watch
– North of Deerfield Beach to the Brevard County Line

Updated 7/31/20: ABC News issued a report outlining impacts of Tropical Storm Isaias in Puerto Rico. According to the report, the southern region of the island may have been hardest hit, with area communities reportedly experiencing flash flooding that has collapsed abandoned homes.

Isaias Causes Floods, Slides, Then Grows Into Hurricane

South Region Municipalities: 

– Arroyo (00714)
– Coamo (00640, 00769)
– Guyama (00704, 00784)
– Guayanilla (00656, 00785)
– Juana Diaz (00665, 00795, 00796)
– Patillas (00723)
– Penuelas (00624)
– Ponce (00715, 00716, 00717, 00728, 00730, 00731, 00732, 00733, 00734, 00780)
– Salinas (00704, 00751)
– Santa Isabel (00757)
– Villalba (00766)

Updated 7/30/20: The Weather Channel published a report outlining the latest details associated with Tropical Storm Isaias, which has formed in the Atlantic Ocean.

Tropical Storm Isaias Carving Through the Caribbean. Could Head Toward Florida, Southeast Coast

Updated 7/29/20: FEMA issued an Emergency Declaration for areas in the U.S. Virgin Islands affected by Potential Tropical Cyclone Nine (Tropical Storm Isaias) beginning July 27, 2020 and continuing.

Potential Tropical Cyclone Nine USVI (EM-3531)
FEMA Emergency Declaration USVI: ZIP Code List


Updated 7/29/20: FEMA issued an Emergency Declaration for areas in Puerto Rico affected by Potential Tropical Cyclone Nine (Tropical Storm Isaias) beginning July 27, 2020 and continuing.

Potential Tropical Cyclone Nine Puerto Rico (EM-3532)
FEMA Emergency Declaration Puerto Rico: ZIP Code List

 

Disaster Alert
July 28, 2020

Source: USA Today

Additional Resources:

Puerto Rico/U.S. Virgin Islands Coastal ZIP Code List

NOTE: This has not yet been declared a FEMA Disaster.

Story Highlights

  • A weather system now swirling in the central Atlantic will likely become the season’s next tropical storm.
  • Tropical storm warnings have been hoisted in both Puerto Rico and the U.S. Virgin Islands.
  • Heavy rain “may produce life-threatening flash flooding and mudslides,” the hurricane center warned.

The hyperactive 2020 Atlantic hurricane season shows no signs of slowing down.

A weather system swirling in the central Atlantic will likely become the season’s next tropical storm, forecasters said Tuesday, with the National Hurricane Center giving the system a 90% chance of development within the next two days.

Tropical storm warnings have been hoisted in both Puerto Rico and the U.S. Virgin Islands for the system, which the hurricane center has dubbed “Potential Tropical Cyclone Nine.” This means tropical storm conditions are likely there within the next 36 hours.

On the forecast track, the system is expected to move through the Leeward Islands on Wednesday, near or over the Virgin Islands and Puerto Rico on Wednesday night and near or over Hispaniola on Thursday, the hurricane center said.

The storm could dump as much as 10 inches of rain across the northern Leeward Islands, the British and U.S. Virgin Islands, and Puerto Rico. “This rainfall may produce life-threatening flash flooding and mudslides,” the hurricane center warned.

For full report, please click the source link above.

FHFA: Foreclosure Prevention Report – April 2020

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Investor Update
July 13, 2020

Source: FHFA

April 2020 Highlights — Foreclosure Prevention

The Enterprises’ Foreclosure Prevention Actions:

• The Enterprises completed 16,738 foreclosure prevention actions in April, bringing the total to 4,450,614 since the start of the conservatorships in September 2008. Over half of these actions have been permanent loan modifications.

• There were 4,528 permanent loan modifications in April, bringing the total to 2,411,383 since the conservatorships began in September 2008.

• Nineteen percent of modifications in April were modifications with principal forbearance. Modifications with extend-term only accounted for 67 percent of all loan modifications during the month.

• Initiated forbearance plans jumped significantly to 989,594 in April from 165,431 in March, bringing the total number of loans in forbearance plans to 1,149,188, representing approximately 4.1% of the total loans serviced.

• There were 326 short sales and deeds-in-lieu of foreclosure completed in April, down 5 percent compared with March 2020.

The Enterprises’ Mortgage Performance:

• 30-59 days delinquency rate rose to 3.47 percent while serious delinquency rate increased from 0.64 percent at the end of March to 0.68 percent at the end of April.

The Enterprises’ Foreclosures:

• Third-party and foreclosure sales dropped 83 percent from 1,988 in March to 344 in April due to the suspension of foreclosures.

• Foreclosure starts also dropped from 8,293 in March to 3,229 in April due to the suspension of foreclosures.

April 2020 Highlights — Refinance Activities

• Total refinance volume sharply increased in April 2020 to levels last observed in 2013 as mortgage rates in fell in previous months. Mortgage rates decreased further in April: the average interest rate on a 30-year fixed rate mortgage fell to 3.31 percent from 3.45 percent in March.

• In April 2020, 13 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 32.

• The percentage of cash-out refinances decreased to 30 percent in April from 36 percent in March. Mortgage rates have continued to fall from the highs observed a year ago, creating more opportunities for non cash-out borrowers to refinance at lower rates and lower their monthly payments.

Attachments: Foreclosure Prevention, Refi, and FPM – April 2020

FHFA: 2021 Housing Goals for Fannie Mae and Freddie Mac Proposed

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Updated 12/16/20: The FHFA issued its final rule on the 2021 housing goals for Fannie Mae and Freddie Mac.

2021 Enterprise Housing Goals Final Rule

 

Investor Update
July 20, 2020

Source: FHFA

Washington, D.C. – Today, the Federal Housing Finance Agency (FHFA) proposed its 2021 housing goals for Fannie Mae and Freddie Mac (the Enterprises). Due to the economic uncertainty related to the COVID-19 national pandemic, FHFA is proposing benchmarks for calendar year 2021 only, and those levels will remain the same as they were for 2018-2020. Once finalized, the proposed benchmark levels would extend those benchmarks that are currently set to expire on December 31, 2020.

The proposed rule would establish both single-family and multifamily housing goals.

For full news release, please click the source link above.

Fannie Mae: AAA Matrix Update – July 2020

Posted on by Safeguard

Investor Update
July 15, 2020

Source: Fannie Mae

Additional Resource:

Excess Atttorney Fee/Cost Guidelines

As of July 1, the fee amount for the Case Management Hearing – Illinois Administrative Order – SP37 Standard Excess Fee has been updated from $100 to $250 in the Illinois Attorney Authorization Approval (AAA) matrix.

For full information, please click source link above.

VA: VALERI Servicer Newsflash

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Investor Update
July, 17 2020

Source: VA

Adequacy of Servicing (AOS) – Effective July 1, 2020, AOS cases generate daily until the monthly pool is depleted. Therefore, servicers should run the “AOS Action Required” report daily to ensure responses/documents are provided timely on all cases.

Electronic Default Notice (EDN) Event – On the Events Upload Template, the “Primary Reason For Default” field is a required field, which means a selection from the dropdown is required. In the electronic files sent to VA, there must be a selection present in the “Primary Reason for Default” data field in the EDN event prior to the 61st day of delinquency. If the EDN event generates with this data field blank, it will default to “Other” in VALERI. Servicers should review their defaulted loans to confirm that they reflect the correct default reason. Servicers may contact the assigned loan technician to request a manual default reason change from “Other” to the correct default reason or include the new default reason in the AOS response.

Foreclosure Sale Scheduled Event – Servicers must select the foreclosure type as either Judicial or NonJudicial. If no selection is made, the system will not recognize the subsequent Basic Claim event, and therefore, a review claim process will not open.

E-Filing/Recording Fees – Servicers should combine the e-filing or e-recording fee along with the related item that was filed or recorded. If it is reported as a separate fee on the Basic Claim, it will be denied.

VALERI Announcements – An announcement message board is available in VALERI and is accessible by selecting the Home icon located next to “VALERI” at the top left corner. Users are encouraged to view the announcements regularly for informational awareness.

Contacting VA – Servicers should adhere to the following protocol:

  • Loan specific inquiries and escalations – Assigned VA Loan Technician/Regional Loan Center (contact
    list located in Knowledge in VALERI)
  • VALERI technical inquiries – VALERI Technical team at valeri.vbaco@va.gov
  • Unassigned loans, VALERI Reports, and general policy inquiries – VA Central Office VALERI
    Helpdesk at valerihelpdesk.vbaco@va.gov
  • Bulk upload error inquiries (with uploaded spreadsheet and the auto-generated error message) –
    VALERI Data Quality team at valeridataquality.vbaspl@va.gov
  • Post conveyance inquiries – Vendor Resource Management at title-va@vrmco.com
  • Post conveyance escalations – VA Central Office Property Management at pm.vbaco@va.gov

Hurricane Douglas Likely to Strike Hawaii with Heavy Rain, High Winds

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Updated 7/27/20: The Weather Channel published a report offering the latest updates for Hurricane Douglas, which is pulling away from Hawaii and expected to return to open water.

Hurricane Douglas Brushes Hawaii with Rain and Wind

Updated 7/26/20: Hawaii News Now published an article detailing the latest warnings and watches issued in Hawaii related to Hurricane Douglas.

LIST: Weather Alerts in Effect as Hurricane Douglas Closes In

Updated 7/26/20: ABC News issued a report offering the latest updates on Hurricane Douglas, which is forecast to pass near the Hawaiian Islands within the next 24 hours.

Hanna Weakens to Tropical Storm as Hurricane Douglas Makes Its Approach on Hawaii

Updated 7/25/20: FEMA issued an Emergency Declaration for areas in Hawaii affected by Hurricane Douglas beginning July 23, 2020 and continuing.

Hurricane Douglas (EM-3529)
FEMA Emergency Declaration Hawaii: ZIP Code List

Updated 7/25/2020: The Weather Channel issued a report offering the latest forecast for Hurricane Douglas, which is poised to pass over the Hawaiian Islands within the next 24 hours.

Hurricane Watch Issued for Hawaii as Douglas Nears With Strong Winds, Heavy Rain, Coastal Flooding

 

Disaster Alert
July 24, 2020

Source: The Weather Channel

Additional Resources:

Office of Hawaii Governor David Y. Ige (Governor Ige issues Emergency Declaration in Anticipation of Hurricane Douglas)

Associated Statewide County ZIP Code List

NOTE: This has not yet been declared a FEMA Major Disaster.

At a Glance

  • Douglas is the first Eastern Pacific major hurricane of 2020.
  • Douglas will gradually weaken, but is still likely to strike Hawaii Sunday.
  • It may either be a tropical storm or low-end hurricane as it sweeps through.
  • Heavy rain, strong winds, coastal flooding and high surf are expected.
  • The exact track of Douglas will determine how much of the islands see the strongest winds.

Hurricane Douglas is forecast to sweep through Hawaii as a tropical storm or hurricane this weekend, where it could produce flash flooding, strong winds and pounding surf.

Douglas is encountering cooler water, beginning its weakening phase. Drier air and wind shear, both nemeses of tropical cyclones, also lie ahead for Douglas.

The question, though, is how fast does Douglas weaken.

If it weakens slower, Douglas could pack more of a punch as perhaps a low-end hurricane by the time it reaches Hawaii. A faster weakening would bring Douglas into the islands as a tropical storm.

And, unlike some past tropical storms and hurricanes, Douglas could affect the entire island chain, not simply the Big Island.

That brings about another uncertainty, the storm’s exact track, which will determine how many of the islands experience the strongest winds and possibly heaviest rain from Douglas.

For full report, please click the source link above.

Tropical Storm Hanna Heads for Texas Gulf Coast, Heavy Rain Expected

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Updated 7/27/20: The Weather Channel issued a report offering the latest on Tropical Depression Hanna, which has caused flooding and damage in South Texas.

Tropical Depression Hanna Unleashes Flooding, Power Outages Across South Texas, Northeastern Mexico

Updated 7/26/20: FEMA issued an Emergency Declaration for areas in Texas affected by Hurricane Hanna beginning July 25, 2020 and continuing.

Hurricane Hanna (EM-3530)
FEMA Emergency Declaration Texas: ZIP Code List

Updated 7/26/20: The Weather Channel issued a report providing the latest updates for Hurricane Hanna, which has caused major flooding and power outages across South Texas.

Tropical Storm Hanna Unleashes Flooding, Power Outages Across South Texas, Northeastern Mexico

Additional Resource:

KVEO NBC Local 23 (Tropical Storm Hanna Causing Major Damage Across the Rio Grande Valley)

Updated 7/26/20: The Weather Channel issued a report providing the latest updates for Hurricane Hanna, which has weakened into a tropical storm after making landfall on Padre Island, Texas.

Hanna Drenching South Texas, Northern Mexico with Heavy Rain as it Slides Inland

Additional Resources:

KVEO NBC Local 23 (Flooded Areas: Heavy Rainfall Brings Flooding in the Rio Grand Valley)

The Monitor (More Than 4,000 Outages Reported Across Valley)

Updated 7/25/20: The Weather Channel issued a report providing the latest updates for Hurricane Hanna, which has made landfall on Padre Island, Texas.

Hurricane Hanna Makes Landfall on Padre Island, Texas; Flooding Rainfall Expected into Sunday

Additional Resource:

Office of Texas Governor Greg Abbott (Hurricane Hanna Disaster Declaration)
Associated County ZIP Code List (32 counties)

Approximate locations sustaining property damage:

Texas
– Port Mansfield (Willacy County, 78598)
*Wind damage (residential roof shingles/boat storage facility roof destruction)

Updated 7/25/20: The Weather Channel issued a report providing the latest updates for Hurricane Hanna, which will make landfall in South Texas with high winds and heavy rain.

Hanna Intensifies Into Hurricane Ahead of Texas Landfall Today

Locations currently under a hurricane warning:

Texas
Mesquite Bay, south to Port Mansfield

 

Disaster Alert
July 24, 2020

Source: The Weather Channel

Additional Resource:

Coastal County ZIP Codes (Louisiana/Texas)

NOTE: This has not yet been declared a FEMA Major Disaster.

At a Glance

  • Tropical Storm Hanna is headed toward a Texas landfall Saturday.
  • The biggest danger is flooding rainfall.
  • Locally heavy rain will spread across South Texas into northeast Mexico.
  • That locally heavy rain will linger well after landfall.
  • Tropical storm-force winds are expected along and inland of the Texas coast.
  • Rough surf and minor coastal flooding are expected along the northern and western Gulf Coast.

Tropical Storm Hanna formed in the Gulf of Mexico Thursday night and is headed toward a Texas landfall Saturday, with the potential for dangerous rainfall flash flooding extending well inland into northeast Mexico.

Thursday night, Hurricane Hunter reconnaissance mission found winds ticked up just enough to upgrade Tropical Depression Eight to Tropical Storm Hanna, the record earliest eighth named storm, beating Tropical Storm Harvey’s record, set in 2005, according to Phil Klotzbach, tropical scientist at Colorado State University.

For full report, please click the source link above.

Minimize Loss Through Enhanced Disposition Strategies

Posted on by Safeguard

Editorial
July 21, 2020

Source: Property Preservation Executive Forum (Second Quarter 2020 Newsletter PDF)

Created in 1987, Claims Without Conveyance of Title (CWCOT) is an alternative property disposition strategy created by the U.S. Department of Housing and Urban Development (HUD). CWCOT provides mortgagees with procedures for bidding and payment claims under the Single Family FHA Mortgage Insurance Program.

Following the 2008 housing crisis, HUD adjusted its guidelines to give the CWCOT program more flexibility. The revised program allowed mortgage servicers to accept offers for less than the full debt owed on the loan by utilizing a HUD-approved discounted value.

This value-based pricing strategy allowed sales to occur at or below a property’s market value as opposed to requiring the full debt as the minimum acceptable sale price. However, servicers are required to make up the difference if the sale price is below the floor set by HUD.

CWCOT as a core strategy for servicers re-emerged recently due to the low cost of money coupled with the emergence of web-based auction companies in the mortgage servicing space that started to aggressively market this route. HUD reports saving more than three billion dollars in holding and other related costs due to this program. Because of the savings, HUD offers its “Second Chance” program that kicks in if the property does not sell third party at foreclosure. The auction company will continue to list the property and try to find a buyer.

When a property is actively being marketed at auction, HUD will grant two sequential 60-day extension approvals to give the servicer more time to either get the property in conveyance condition (ICC) or to sell via auction. That is a primary incentive for having an auction program — it automatically grants 120 days to the post-foreclosure sale process.

Some mortgage servicers prefer to sell via auction to avoid the complexities of going the traditional “Part A” path of conveying the property to HUD REO and having them sell the property via normal channels. The Part A path runs the risk of reconveyance if convey condition standards are not met.

While the CWCOT and auction strategies are effective, the volatility of the market can create the potential for losses. If it shifts and property prices begin to decline, servicers may have to come out of pocket to make up the difference when the demand for housing decreases.

This uncertainty within the market makes it imperative for servicers to sharpen their Part A strategy, not abandon it. When properly managed between a servicer and property preservation provider, the conveyance path is generally a more cost effective route in housing markets that do not have robust demand for housing at auction.

The partnership between servicers and their property preservation provider has proven to be critical when evaluating properties for both the CWCOT and traditional Part A processes. Property preservation companies, like Safeguard Properties, have been successful in aiding servicers during both through continued inspections and maintenance, in addition to ensuring damages are mitigated properly so the property sells with minimal losses to the servicer.

For the Part A conveyance process, Safeguard has developed strategies to streamline and minimize losses for servicers. Techniques to speed up the conveyance process and ensure work is completed as quickly as possible have been implemented and successful for servicers.

There is no doubt that the CWCOT has been successful in the current environment of a hot housing market and cheap money, however servicers need to continue to build and enhance their disposition playbook. Servicers can minimize their losses by remaining prepared and engaging their partners.

Joe Iafigliola is the Chief Financial Officer for Safeguard. Joe is responsible for the Control, Quality Assurance, Business Development, Accounting & Information Security departments, and is a Managing Director and Operating Partner of SCG Partners, a mid­dle-market private equity fund focused on diversifying and expanding Safeguard Properties’ business model into complimentary markets. Joe has been in a wide variety of roles in finance, supply chain management, information systems development, and sales and marketing. His career includes senior positions with McMas­ter-Carr Supply Company, Newell/Rubbermaid, and Procter and Gamble. 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.

Freddie Mac: FHLMC Guide Bulletin 2020-28: Eligible Disasters and Other Servicing Guidance Related to COVID-19

Posted on by Safeguard

Investor Update
July 15, 2020

Source: Freddie Mac

This Guide Bulletin announces:

Eligible Disasters

• Eligible Disaster updates
• Credit reporting requirements updates for Borrowers impacted by an Eligible Disaster
• Introduction of the Disaster Payment Deferral – October 1, 2020

COVID-19 Servicing updates and clarifications

• Additional updates to Servicer incentives for Extend Modification and Capitalization and Extension Modification
• Insurance loss proceeds disbursements to Borrowers impacted by a covid-19 related hardship
• EDR reporting clarification for Mortgages with an ongoing COVID-19 related hardship that are also impacted by an Eligible Disaster
• Clarification of Escrow shortage repayment period following a COVID-19/Disaster Payment Deferral

EFFECTIVE DATE

All of the changes announced in this Bulletin are effective immediately unless otherwise noted.

For full update, please click the source link above.

Freddie Mac: FHLMC Guide Bulletin 2020-29: Servicing Updates

Posted on by Safeguard

Investor Update
July 15, 2020

Source: Freddie Mac

This Guide Bulletin announces:
• Updates to insurance loss settlement requirements
• Document Custody
• Original Security Instrument requirement removal – August 5, 2020
• Addition of lost note affidavit (LNA) provisions – November 1, 2020
• Clarification on insurance coverage – November 1, 2020

Additional Guide updates and reminders

• Further updates and reminders as described in the Additional Guide updates and reminders section of this Bulletin

EFFECTIVE DATE

All of the changes announced in this Bulletin are effective immediately unless otherwise noted.

INSURANCE LOSS SETTLEMENTS

Based on Servicer feedback, at the direction of the FHFA and in alignment with Fannie Mae, we are updating certain provisions of our insurance loss settlement requirements to expedite the disbursement of insurance proceeds and streamline the inspection process. With this update, Servicers are no longer required to:

• Disburse insurance proceeds via check made payable jointly to the Borrower and the contractor
• Validate that the contractor performing the repairs is licensed or bonded and insured. These updates apply to Mortgages that were current as well as delinquent at the time of loss.
• Perform a final inspection to validate completion of repairs when the Mortgage was current at the time of loss

Additionally, to facilitate Servicer oversight of property repairs and to help overcome scheduling conflicts that may delay the disbursement of proceeds, we are introducing new requirements authorizing the completion of remote loss-settlement inspections* when the Mortgage was current at the time of loss, using borrower-submitted photos or video or servicer-directed video calls with the borrower. Such “remote inspections” may be employed by the Servicer, in lieu of physical inspections, to confirm the progress or completion of repairs at the property.

*These remote inspection requirements do not extend to inspections required to confirm the status of the property after a disaster (Section 8404.2) or inspections triggered by the delinquency of the Mortgage (Section 9202.12).

For full update, please click the source link above.