Real NEWS | Fannie Issues New Servicer Standards

One of the most common complaints from homeowners and Realtors alike is how long it takes to receive responses from loan servicers for troubled mortgages. If you’re like most people, who are not in the habit of using the term “loan servicer” and would like to know what that means—it’s the entity that you pay your mortgage check to—often a bank. They serve the investors who ultimately own your loan.

Anyhow—Fannie Mae is attempting to ease the problem a bit with new standards in regard to how servicers communicate with homeowners—as a Fannie spokesperson states:

These new standards give homeowners facing difficulty making their mortgage payments a clear, consistent process.  We want homeowners to be able to understand their options when facing foreclosure, and we want servicers to reach homeowners early in the process, communicate frequently and clearly, and help homeowners avoid foreclosure.

—Jeff Hayward, Senior Vice President of Fannie Mae’s National Servicing Organization

Sounds reasonable enough, right?  The trouble is, there’s not been a whole lot of reasonable for some time now. Let’s see how implementation goes. Fingers crossed!