Top Democrats are slamming the director of the Federal Housing Finance Agency for recent GSE loan sales, which they say could remove vital borrower protections.
In a letter to FHFA Director Mark Calabria, Sen. Sherrod Brown (D-Ohio) and Sen. Jack Reed (D-R.I.) said the recent sales by Fannie Mae and Freddie Mac “could put thousands of homeowners at risk of further delinquency or foreclosure.”
The CARES Act requires the GSEs to provide borrowers impacted by the COVID-19 pandemic with up to two 180-day forbearances. The FHFA and the GSEs have also introduced a number of post-forbearance options to help borrowers return to regular payments. The FHFA has also extended the GSEs’ foreclosure moratorium for all GSE-backed loans.
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