Wednesday, April 21, 2010
Fannie Mae Deed-In-Lieu of Foreclosure Rule Change
Inman News - To encourage distressed borrowers to agree to deeds-in-lieu of foreclosure, Fannie Mae is reducing the waiting period -- from four years to two years -- for them to become eligible for a new mortgage. The new policy, which will apply to loan applications submitted after June 30, requires a minimum down payment of 20 percent from borrowers who have agreed to a deed-in-lieu within the past two years. Borrowers with a deed-in-lieu in the past two to four years will be required to put 10 percent down to be considered for a Fannie Mae-backed loan.