Another month, another extension.
The Federal Housing Finance Agency announced that Fannie Mae and Freddie Mac are extending the moratoriums on single-family foreclosures and real estate owned evictions until February 28.
Originally enacted last year to protect homeowners during the Covid pandemic, the moratorium applies to Fannie and Freddie-backed, single-family mortgages only. The REO eviction moratorium applies to properties that have been acquired by Fannie and Freddie through foreclosure or deed-in-lieu of foreclosure transactions.
“To keep our communities safe, and families in their homes during the COVID-19 pandemic, FHFA is extending Fannie Mae and Freddie Mac’s foreclosure and eviction moratorium,” Director Mark Calabria said.
FHFA projects additional expenses of $1.4 to $2 billion will be borne by Fannie and Freddie due to the existing COVID-19 foreclosure moratorium and its extension. This is in addition to more than $6 billion in costs already incurred.