Fannie Mae Says Foreclosure Delays Represent a Breach by the Servicer
The nation's largest mortgage company is about to start cracking down on servicers for letting delinquent loans languish too long without action.
Fannie Mae has issued a notice alerting servicers that it is monitoring all delinquent loans to ensure foreclosures are handled within an acceptable time frame, and may assess penalties for poor servicer performance. By the tone of Fannie's announcement, the GSE wants these nonperformers off its books as quickly as possible.