GSEs Announce Eviction Moratorium for Holiday Season
Both Fannie Mae and Freddie Mac will suspend evictions nationwide on foreclosed single-family homes and multi-family properties during the upcoming holiday season.
Fannie Mae will begin halting their evictions on December 19 through January 2, while Freddie Mac’s eviction lockouts will not be in effect from December 17 through January 2.
Although no evictions will take place, firms handling local evictions for the government-sponsored enterprises will continue to file documentation in preparation for evictions that will start after the two-week moratorium.
The holiday suspension applies only to eviction lockouts on Freddie-Mac owned REO homes and will not affect other pre- or post-foreclosure processes. The same rules apply to Fannie Mae mortgages for single-family and two- to four-unit properties.
Meanwhile, the 90-day eviction suspensions that the GSEs initiated for eligible Hurricane Sandy disaster areas will continue through February 2013.
“We’re taking this step in support of families who have faced financial challenges and gone through a foreclosure,” said Terry Edwards, executive vice president of credit portfolio management at Fannie Mae. “The holidays are a chance to be with loved ones and we want to relieve some stress at this time of year.”