Safeguard Properties

MHA HAMP Reporting Update: Servicer Reporting Overview and Timeline

Posted on by Safeguard

On May 14, Making Home Affordable (MHA) released a HAMP Reporting Update, subtitled Updated MHA Servicer Reporting Overview and Timeline.

HAMP REPORTING UPDATE

Updated MHA Servicer Reporting Overview and Timeline

An updated version of the MHA Servicer Reporting Overview and Timeline has been posted to the Job Aids section of HMPadmin.com. The document details when and how to report loan-level data to the HAMP Reporting Tool.

Updated Reason Code and Descriptions

An updated version of the MHA Reason Codes and Descriptions document has been posted to the Loan Reporting ocuments section of HMPadmin.com.

Questions? 
Email the HAMP Solution Center or call 1-866-939-4469.

Please click here to view the online update.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

MHA HAMP Reporting Update April 2014 UP Survey Available

Posted on by Safeguard

On May 15, Making Home Affordable (MHA) released a HAMP Reporting Update, subtitled April 2014 UP Survey Now Available.

HAMP REPORTING UPDATE

April 2014 UP Survey Now Available

The April 2014 UP survey is now available on HMPadmin.com (login required). Servicers that have executed a Servicer Participation Agreement (SPA) and that have cumulative UP activity must complete and upload their UP survey response to the HAMP Reporting Tool (login required) by Thursday, May 22, 2014.

SPA servicers that have any cumulative UP activity as of April 30, 2014 must submit an UP survey at this time.

For details on downloading and submitting the UP survey response, log in to HMPadmin.com, navigate to the HAMP Loan Reporting Tools & Documents area, and select the UP Survey tab.

Questions?
For more information, email the HAMP Solution Center or call 1-866-939-4469.
For questions specifically regarding the survey contents, email the HAMP Servicer Survey team.

Please click here to view the online update.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

HUD Statement on Detroit Blight Removal Task Force Report

Posted on by Safeguard

On May 27, the U.S. Housing and Urban Development (HUD) released a statement regarding the Detroit Blight Removal Task Force report.

Link to report.

STATEMENT FROM HUD SECRETARY SHAUN DONOVAN
ON THE RELEASE OF THE DETROIT BLIGHT REMOVAL TASK FORCE REPORT
 
WASHINGTON – U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan issued the following statement today after the release of the Detroit Blight Removal Task Force report “Every Neighborhood Has a Future…And It Doesn’t Include Blight.” The report details the progress that has been made by local partners to remove blight and help revitalize neighborhoods in Detroit:

“I want to congratulate the Detroit Blight Removal Task Force on the release of the report, Every Neighborhood Has A Future. . . And It Doesn’t Include Blight. The report clearly demonstrates that the City of Detroit and the Detroit Land Bank Authority are making real progress in their efforts to eliminate blight. In the coming weeks, HUD and other federal government partners are looking forward to reviewing the recommendations of the report and will continue to work with private, philanthropic, nonprofit, and public sector partners to support their revitalization efforts.

I especially want to acknowledge and express my gratitude for the work of all of the Task Force Chairs and Members as well as members of the community who contributed input and ideas to this report. Whether it pertains to blight or other local challenges, the Obama Administration remains committed to partnering with the City of Detroit as it continues on its road to economic recovery from the recent recession. We will continue to work with our partners in Detroit to ensure we create ladders of opportunity for Americans who are working hard to make it to the middle class and turn the people of Detroit’s vision of the future into a reality.”

Please click here to view the online statement.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

HUD Reminds of Mortgagee Responsibilities for Sub-servicing of FHA 203(k) Mortgages

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On May 19, the U.S. Department of Housing and Urban Development (HUD) released an update titled Mortgagee Responsibilities for Sub-servicing of FHA 203(k) Mortgages and Escrow Rehabilitation Accounts.

TO: All FHA-Approved Mortgagees

Update

Mortgagee Responsibilities for Sub-servicing of FHA 203(k) Mortgages and Escrow Rehabilitation Accounts

This FHA Single-Family Housing News e-mail reminds FHA-approved mortgagees of
their responsibilities under Mortgagee Letter (ML) 2009-42, Sub-servicing of
FHA-insured Mortgages, with regard to the servicing of 203(k) mortgages.
Specifically, one of the functions that a servicer of an FHA-insured 203(k) mortgage
is responsible for is the servicing of the rehabilitation escrow account. When this
function is delegated to another party, the sub-servicing requirements of
ML 2009-42 apply. Therefore, under ML 2009-42, only a mortgagee approved
to service FHA-insured mortgages may handle this function.

Additional Information

ML 2009-42 restates guidance that an FHA-approved servicer is not precluded from
performing servicing actions on behalf of another FHA-approved servicer, which is
an arrangement often referred to as subservicing. FHA reminds mortgagees that:

  • Mortgagees must ensure that these arrangements comply with HUD rules,
    including the requirement that both servicers and sub-servicers have
    FHA approval.
  • ML 2009-42 references HUD regulations at 24 CFR §203.502, which state
    that “[t]he mortgagee shall remain fully responsible to the Secretary for
    proper servicing, and the actions of the servicer shall be considered to
    be the actions of the mortgagee. The servicer shall also be fully
    responsible to the Secretary for its actions as a servicer.”

Additionally, all mortgagees are reminded of the importance of updating FHA
systems with any mortgage record changes as outlined in ML 2011-33,
Mortgage Record Changes and Data Reconciliation. HUD requires that FHA
systems accurately reflect any change with respect to the roles and
subsequent responsibilities as the parties listed as holder of the mortgage
and/or servicer.

Learn More:

Please click here to view the update in its entirety.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

HUD April Housing Scorecard

Posted on by Safeguard

On May 9, the U.S. Department of Housing and Urban Development (HUD) released an update titled Obama Administration Releases April Housing Scorecard.

OBAMA ADMINISTRATION RELEASES APRIL HOUSING SCORECARD

Las Vegas, NV Metropolitan Area Shows Signs of Improvement

WASHINGTON– The U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury today released the April edition of the Obama Administration’s Housing Scorecard – a comprehensive report on the nation’s housing market. This month’s Housing Scorecard also features a spotlight on the Las Vegas-Henderson-Paradise, NV Metropolitan Statistical Area (Las Vegas MSA). The latest data show progress among key indicators.  While house prices remain stable and equity continues to grow, new and existing home sales have slowed. While this scorecard notes positive overall trends in the housing market, officials caution that the harsh winter slowed growth as the economy recovers from the Great Recession. The full Housing Scorecard and spotlight on the Las Vegas MSA are available online at www.hud.gov/scorecard.

“April’s Housing Scorecard shows that the housing market is stabilizing, as home prices have risen nearly 7 percent from last year, and foreclosure completions are at their lowest level since mid-2007,” said HUD Assistant Secretary for Policy Development and Research Katherine O’Regan. “However, the harsh winter, fewer distressed properties on the market, and continued tight credit standards have combined to slow the pace of home sales this month, indicating we need to remain vigilant to keep the recovery robust.”

“While the housing market continues to make progress, there are still many homeowners struggling to make their mortgage payments,” said Treasury Acting Assistant Secretary Tim Bowler. “Treasury remains committed to helping homeowners through our programs under Making Home Affordable (MHA). As this report shows, nearly 1.3 million homeowners have received a permanent modification through the Home Affordable Modification Program (HAMP) and the program has saved homeowners an estimated $26.8 billion to date in monthly mortgage payments.”

The April Housing Scorecard features key data on the health of the housing market and the impact of the Administration’s foreclosure prevention programs, including:

  • House prices remain stable. As of February 2014, the Federal Housing Finance Agency (FHFA) purchase-only house price index rose 6.9 percent from last year and ticked up 0.6 percent (seasonally adjusted) from January. The FHFA seasonally adjusted purchase-only index for the U.S. shows that home values are on par with prices in mid-2005. The S&P/Case-Shiller 20-City Home Price Index for February posted returns of 12.9 percent over the past 12 months and was virtually the same (not seasonally adjusted) from January. Prices, however, are typically weaker at this time of the year. The Case-Shiller index shows that home values are back to their mid-2004 levels. (The Case-Shiller and FHFA price indices are released with a 2-month lag.)
  • Foreclosure completions are at their lowest level since mid-2007. A total of 28,840 U.S. properties were repossessed by lenders (Real Estate Owned, or REO) in March, down 5 percent from February and down 34 percent from a year ago—to the lowest level since July 2007. Newly initiated foreclosures, at 55,710 U.S. properties, were up 7 percent from February but still down 24 percent from one year ago.  (Source: Realty Trac).
  • New Home Sales Have Slowed in Recent Months. Purchases of new homes dropped 14.5 percent to a seasonally adjusted annual rate (SAAR) of 384,000 in March—an eight-month low. New home sales were down 13.3 percent from a year earlier, the first annual decline since the third quarter of 2011. (Source: HUD and Census Bureau).
  • The Administration’s foreclosure mitigation programs continue to provide relief for millions of homeowners as the recovery from the housing crisis continues. More than 2.0 million homeowner assistance actions have taken place through the Making Home Affordable Program, including nearly 1.4 million permanent modifications through the Home Affordable Modification Program (HAMP), while the Federal Housing Administration (FHA) has offered nearly 2.3 million loss mitigation and early delinquency interventions through March. The Administration’s programs continue to encourage improved standards and processes in the industry, with HOPE Now lenders offering families and individuals more than 4.0 million proprietary modifications through February (data are reported with a 2-month lag). In all, more than 8.3 million mortgage modification and other forms of mortgage assistance arrangements were completed between April 2009 and the end of March 2014.

This month’s Housing Scorecard also features a regional spotlight on market strength in the Las Vegas-Henderson-Paradise, NV Metropolitan Statistical Area (Las Vegas MSA). Like many areas across the country, the economic and housing market conditions in the Las Vegas area are improving, but the housing crisis and recession hit this area particularly hard and their economic recovery started later. The Administration’s broad approach to stabilize the housing market has been provided help to homeowners throughout the Las Vegas MSA.

“As the national housing market continues to improve, the Las Vegas metropolitan area is also showing signs of recovery from the recession,” said O’Regan. “As the regional spotlight shows, the Las Vegas MSA was one of the hardest-hit areas during the housing crisis. House prices plummeted by 60 percent during the housing downturn in the Las Vegas area and there was a sharp increase in the number of distressed mortgages. While it’s clear Administration efforts have helped the area rebound, more work must be done to help homeowners in this area struggling from an excess of  housing construction and unsustainable mortgage lending in the years leading up to the housing crisis and recession.”

The Housing Scorecard Regional Spotlight features data on the health of the Las Vegas MSA housing market and impact of efforts to help homeowners at the local level including:

  • Economic and housing market conditions in the Las Vegas MSA are improving. Although the recovery from the recession started later in Las Vegas, jobs have been increasing at an average annual rate of 18,450, or 2.3 percent, from the first quarter of 2011 through the fourth quarter of 2013. As of January 2014, the rate of distressed mortgages has fallen from a peak of 19.8 percent to 7.6 percent compared to a decline from 8.0 to 4.5 percent nationally. The share of underwater mortgages remains high but has dropped to 32.6 percent as of the fourth quarter of 2013, down from 55.0 percent a year earlier.
  • Administration Programs Are Providing Much Needed Relief to the Last Vegas MSA. The Administration’s broad approach to stabilizing the Las Vegas housing market has contributed to the improvements as more than 82,100 homeowners received mortgage assistance between April 2009 and March 2014. Furthermore, the Las Vegas MSA has benefitted from $154 million in funding from the Neighborhood Stabilization Program, and the State of Nevada has received $194 million from the Hardest Hit Fund program.

The National Mortgage Servicing Settlement is continuing to provide relief for those in the Las Vegas metropolitan area and throughout the state of Nevada. Under the landmark National Mortgage Servicing Settlement, more than 20,400 Nevada homeowners have benefitted from over $1.9 billion in refinancing, short sales and completed or trial loan modifications, including principal reduction on first and second lien mortgages provided as of June 30, 2013. Nationwide, the settlement has provided more than $50 billion in consumer relief benefits to more than 631,000 families. That is in addition to the $2.5 billion in payments to participating states and $1.5 billion in direct payments to borrowers who were foreclosed upon between 2008 and 2011.

Please click here to view the online update.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

HUD Announces Disaster Assistance for AR Storm Victims

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On April 29, the U.S. Department of Housing and Urban Development (HUD) issued a release titled HUD Secretary Announces Disaster Assistance for Arkansas Storm Victims.

HUD SECRETARY ANNOUNCES DISASTER ASSISTANCE FOR ARKANSAS STORM VICTIMS
Foreclosure protection offered to displaced families

WASHINGTON – U.S. Housing and Urban Development Secretary Shaun Donovan today announced HUD will speed federal disaster assistance to the State of Arkansas and provide support to homeowners and low-income renters forced from their homes due to severe storms, tornadoes and flooding.

Today, President Obama issued a disaster declaration for Faulkner County. The President’s declaration allows HUD to offer foreclosure relief and other assistance to certain families living in this county.

“Families who may have been forced from their homes need to know that help is available to begin the rebuilding process,” said Donovan. “Whether it’s foreclosure relief for FHA-insured families or helping these counties to recover, HUD stands ready to help in any way we can.”

HUD is:

  • Offering the State of Arkansas the ability to re-allocate existing federal resources toward disaster relief – HUD’s Community Development Block Grant (CDBG) and HOME programs give the State and communities the flexibility to redirect millions of dollars to address critical needs, including housing and services for disaster victims. HUD is currently contacting State and local officials to explore streamlining the Department’s CDBG and HOME programs in order to expedite the repair and replacement of damaged housing;
  • Granting immediate foreclosure relief – HUD granted a 90-day moratorium on foreclosures and forbearance on foreclosures of Federal Housing Administration (FHA)-insured home mortgages;
  • Making mortgage insurance available – HUD’s Section 203(h) program provides FHA insurance to disaster victims who have lost their homes and are facing the daunting task of rebuilding or buying another home. Borrowers from participating FHA-approved lenders are eligible for 100 percent financing, including closing costs;
  • Making insurance available for both mortgages and home rehabilitation – HUD’s Section 203(k) loan program enables those who have lost their homes to finance the purchase or refinance of a house along with its repair through a single mortgage. It also allows homeowners who have damaged houses to finance the rehabilitation of their existing single-family home; and
  • Offering Section 108 loan guarantee assistance – HUD will offer state and local governments federally guaranteed loans for housing rehabilitation, economic development and repair of public infrastructure.
  • Information on housing providers and HUD programs – The Department will share information with FEMA and the State on housing providers that may have available units in the impacted counties.  This includes Public Housing Agencies and Multi-Family owners.  The Department will also connect FEMA and the State to subject matter experts to provide information on HUD programs and providers.

Read about these and other HUD programs designed to assist disaster victims.

###

HUD’s mission is to create strong, sustainable, inclusive communities and quality
affordable homes for all. HUD is working to strengthen the housing market to
bolster the economy and protect consumers; meet the need for quality
affordable rental homes: utilize housing as a platform for improving quality of
life; build inclusive and sustainable communities free from discrimination; and
transform the way HUD does business. More information about HUD and its
programs is available on the Internet at www.hud.gov and
http://espanol.hud.gov. You can also follow HUD on twitter @HUDGov,
on facebook at www.facebook.com/HUD, or sign up for news alerts
on HUD’s Email List.

Please click here to view the online release.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

Freddie Mac Extends Relief to Tornado-Impacted Communitites

Posted on by Safeguard

On May 1, DS News published an article titled Freddie Mac Extends Relief to Tornado-Impacted Communities.

Freddie Mac Extends Relief to Tornado-Impacted Communities

In a release issued this week, Freddie Mac announced it has opened up its “full menu” of relief policies for homeowners whose homes were damaged or destroyed by late April storms that swept across parts of the South and the Great Plains.

Freddie Mac’s disaster relief policies extend to jurisdictions declared by President Obama to be Major Disaster Areas and where Individual Assistance Programs are being made available, which as of May 1 included parts of Arkansas and Mississippi.

Mortgage relief options for affected borrowers in impacted areas include foreclosure suspension for up to 12 months, waived assessments of penalties or late fees against borrowers with damaged homes, and not reporting forbearance or delinquencies caused by the disaster to credit bureaus.

Freddie Mac also reminds servicers to consider standard relief policies for borrowers who work in eligible disaster areas but who live in unaffected jurisdictions.

“We strongly encourage borrowers to contact their servicers to discuss mortgage relief,” said Tracy Mooney, SVP of single-family servicing at Freddie Mac.

Please click here to view the online article.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

FHLMC Guide Bulletin 2014-9 Updates to Servicing Requirements

Posted on by Safeguard

On May 15, Freddie Mac released an update titled Guide Bulletin 2014-9 Announces Updates to Servicing Requirements.

Guide Bulletin 2014-9 Announces Updates to Servicing Requirements

Today’s Single-Family Seller/Servicer Guide (Guide) Bulletin 2014-9 announces updates to several servicing requirements. Here are the highlights:

Foreclosures

  • Expedite Freddie Mac Default Legal Matters with the New York Foreclosure Inquest Program as an alternative foreclosure process. Read Guide Section A66.10 for more information.
  • You’re no longer required to refer mortgages secured by a Primary Residence to foreclosure within 5 business days after the 121st day of delinquency.
  • Use our revised foreclosure sale bidding guidelines for states with the right of redemption.

Freddie Mac Reimbursement System

  • Permitted vendors can access the Reimbursement System to submit claims on your behalf using the expense and income codes in Guide Exhibit 74.
  • We added 6 new income codes to improve reporting accuracy.

Read Guide Bulletin 2014-9 [PDF] for additional information on these updates and more – including changes to Guide Form 105, Guide Exhibit 88, and requirements for submitting your subsequent Transfer of Servicing requests.

Reminders

  • Online Self-Service Password Reset – Be sure to create your online user profile today. Click here for more information.
  • Freddie Mac Interest Rate – Effective July 8, 2014, Freddie Mac will evaluate market rates and update the Standard Modification interest rate, if necessary, on a monthly basis.

Reference Guides Updates

More Information

  • Sign up for the latest emails on Single-Family news, updates, alerts, and education opportunities on our Subscription Center.
  • Visit Freddie Mac’s Learning Center for additional information on our training programs and references tools.
  • Contact your Freddie Mac representative.

Please click here to view the online bulletin.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

FHLMC Guide Bulletin 2014-8: Enhancements to Representation and Warranty Framework

Posted on by Safeguard

On May 12, Freddie Mac issued an update titled Enhancements to the Representation and Warranty Framework Announced in Guide Bulletin 2014-8.

Enhancements to the Representation and Warranty Framework Announced in Guide Bulletin 2014-8

Today, we are announcing enhancements to the selling representation and warranty framework with Single-Family Seller/Servicer Guide (Guide) Bulletin 2014-8 [PDF]. These enhancements were developed with Fannie Mae, and at the direction of the Federal Housing Finance Agency.

What’s Changing

The framework enhancements include:

  • Relaxing the definition of acceptable payment history for determining when a mortgage is eligible for relief from certain selling representations and warranties.
  • Granting relief from certain selling representations and warranties after a satisfactory conclusion of a quality control (QC) review of the mortgage.
  • Providing Sellers with written notification of mortgages that have met the eligibility requirements for relief.

Framework Versions 1 and 2

  • The current framework is referred to as “Version 1” and its requirements will continue to apply to mortgages with Freddie Mac settlement dates on and after January 1, 2013, and before July 1, 2014.
  • The framework, as modified by the enhancements, is referred to as “Version 2” and will be effective for mortgages with Freddie Mac settlement dates on and after July 1, 2014.

New Repurchase Alternative

In today’s Bulletin, we are also announcing that if the primary mortgage insurance (MI) on a mortgage is rescinded:

  • A repurchase will not automatically be required.
  • The mortgage file will be called in for a QC review. Freddie Mac may offer an alternative to repurchase, if the mortgage is determined to be eligible for a repurchase alternative.
  • A Seller/Servicer may be allowed to “stand-in” and pay the full MI claim payable under the original policy if the mortgage and the Seller/Servicer meet certain eligibility requirements.
  • The MI stand-in option is effective for mortgages with Freddie Mac settlement dates on or after July 1, 2014.

For More Information

Please click here to view the update in its entirety.

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.

FHFA Prepared Remarks on Future of Fannie Mae and Freddie Mac

Posted on by Safeguard

On May 13, the Federal Housing Finance Agency (FHFA) released an update titled Prepared Remarks of Melvin L. Watt, Director, FHFA at the Brookings Institution Forum on the Future of Fannie Mae and Freddie Mac.

Prepared Remarks of Melvin L. Watt, Director, FHFA at the Brookings Institution Forum on the Future of Fannie Mae and Freddie Mac

Managing the Present: The 2014 Strategic Plan for the Conservatorships of Fannie Mae and Freddie Mac

Thank you to the Brookings Institution for hosting this event and thank you for that introduction.  

Let me begin my remarks today by talking about the Federal Housing Finance Agency’s (FHFA) work over the last four months.  Since January, the agency has continued to carry out its day-to-day responsibilities as the regulator of the Federal Home Loan Banks and as the conservator and regulator of Fannie Mae and Freddie Mac (the Enterprises).  Many of these decisions and responsibilities are often considered routine and may go unnoticed.  But they are absolutely critical to the effective and efficient operation of the housing finance market.  I can’t touch on all of these responsibilities in my remarks today, but I do want to give you a summary of what FHFA has been working on since I arrived and I hope this provides you with insight into the direction we’ll be headed in the future, particularly with reference to Fannie Mae and Freddie Mac.

In addition to overseeing our day-to-day operations, my work has also involved an overall assessment of FHFA as well as Fannie Mae and Freddie Mac.  During this time, I’ve witnessed the dedication and expertise of FHFA staff at all levels, as well as the tenacity and dedication of the employees of Fannie Mae and Freddie Mac who continue to stay the course during these most difficult and uncertain times.  And I would be remiss not to acknowledge and thank these staffs for their hard work.  There’s been a constant urgency since the financial crisis.  It has been a marathon, but I’m sure it has felt like a sprint.  And everyone has continued to excel at every step along the way.

I also want to publicly thank Ed DeMarco for his lifelong career in public service, including his time as Acting Director of FHFA.  In the face of the greatest economic collapse since the Great Depression, FHFA helped prevent an extremely bad situation from getting much worse.  It’s hard to imagine things being worse given the depth of the housing market collapse, but I very much believe that FHFA and Ed DeMarco’s leadership prevented an even deeper financial collapse by stabilizing Fannie Mae and Freddie Mac.

Throughout his time at FHFA, Ed was instrumental in establishing the foundation for all that we will do going forward. So, while you may notice from my comments today certain changes in focus, you should know that I firmly believe we will be building on a very solid foundation.

As part of an overall assessment of the agency, we have been very focused on the numerous policy decisions that were and are in the pipeline.  In making decisions about the future strategic direction of the Enterprise conservatorships, the principle we are following is how best to fulfill our obligations under current law.  This means, first and foremost, that we must ensure that Fannie Mae and Freddie Mac operate in a safe and sound manner.  It means that we’ll work to preserve and conserve Fannie Mae and Freddie Mac’s assets.  And it means that we’ll work to ensure a liquid and efficient national housing finance market.  Our job at FHFA is to balance these obligations, and that’s a message I’ll come back to throughout my remarks.

Another way of stating the principle that will be guiding us is that FHFA is focused on how we manage the present – the present conservatorships of the Enterprises and the present housing finance market under the present statutory mandates.

As a result, one topic that is not on FHFA’s agenda, because it’s not part of our statutory mandate, is housing finance reform legislation.  My guess is that there were many people who expected that I would start talking about reform legislation the minute I got to FHFA.  I am well aware, and regularly express my belief, that conservatorship should never be viewed as permanent or as a desirable end state and that housing finance reform is necessary.  However, Congress and the Administration have the important job of deciding on housing finance reform legislation, not FHFA.  Instead, our task is to continue to fulfill our statutory mandates, to execute our Strategic Plan and to manage the present status of Fannie Mae and Freddie Mac.

Today, we are releasing a new Strategic Plan for the Conservatorships of Fannie Mae and Freddie Mac along with their 2014 Conservatorship Scorecard.  Both documents are built around three strategic goals: MAINTAIN, REDUCE and BUILD.  I’d like to walk through each of these goals and discuss how they build upon and, in some cases, reformulate FHFA’s past conservatorship goals. 

Please click here to view the speech in its entirety.

Related Media:
HousingWire: FHFA, GSEs launch program to “stabilize” communities hit hardest by foreclosures
DS News: FHFA Announces Future Plans for Fannie Mae and Freddie Mac

About Safeguard 
Safeguard Properties is the largest mortgage field services company in the U.S. Founded in 1990 by Robert Klein and based in Valley View, Ohio, the company inspects and maintains defaulted and foreclosed properties for mortgage servicers, lenders, and other financial institutions. Safeguard employs approximately 1,700 people, in addition to a network of thousands of contractors nationally. Website: www.safeguardproperties.com.