Tag Archives: Freddie Mac

How The Delayed Financing Rule Works: The Buy & Refi Solution

In 2011, Fannie Mae introduced to the mortgage market, the Delayed Financing Rule, effectively allowing a home buyer to pay cash for a property and then immediately re-mortgage that money back post closing on a new refinance transaction. Since 2011, Fannie Mae has been offering this product, but hasn’t had much effect in Sonoma County […]

New Short Sale Guidelines Won't Make Any Difference

Fannie Mae and Freddie Mac have issued new guidelines designed to be an industry standard for speeding up short sale timelines. Unfortunately, it isn’t going to make a shred of difference. From today’s San Francisco Chronicle: Under the new guidelines, which take effect June 15, servicers have 30 days to review and respond to short […]

Would You Stop Making Mortgage Payments for a Principal Reduction?

Edward DeMarco is weighing the possibility of reducing the principal of hundreds of thousands of Fannie and Freddie mortgages. The decision hinges on just how many additional underwater borrowers would strategically default in order to possibly get their principal reduced. Social mood is hard to forecast. Demarco states: A key risk in principal forgiveness targeted […]

Derogatory Credit: How Long Before You Can Buy A House Again?

This information updates from time to time. The latest info comes from a lender friend of mine. If you’ve gone through a short sale, foreclosure, bankruptcy, or deed-in-lieu of foreclosure, here is how long you’ll have to wait before you can buy a home again. I bet not too many folks out there are aware […]

Another Year of Nothing: Unintended Consequences of the Mortgage Settlement

In the car this morning I heard Kamala Harris being interviewed on one of the news stations. My first reaction was that I like her a lot. She’s a tough cookie and definitely intends to continue going after the banks. And, she really doesn’t like Edward DeMarco. Then she invited homeowners to go to the […]

FACT SHEET: President Obama’s Plan to Help Responsible Homeowners and Heal the Housing Market

Below is the full fact sheet of the Obama housing plan from whitehouse.gov. In his State of the Union address, President Obama laid out a Blueprint for an America Built to Last, calling for action to help responsible borrowers and support a housing market recovery. While the government cannot fix the housing market on its own, […]

FHFA Director Edward DeMarco: Please Resign Immediately

Dear Edward DeMarco, Your position regarding principal reduction for underwater mortgages illustrates just how unfit you are to be running the FHFA. You argue against principal reductions, because it might cost “marginally” more than principal forbearance, yet you completely ignore all of the data suggesting that negative equity leads to strategic defaults and a potential […]