Short News Stories this Week

Payments Coming from $3.6 billion Settlement

Homeowners who lost their homes in 2009 and 2010 could be seeing some financial compensation coming their way. In cash payments ranging from $300 to $125,000 each, 4.2 million borrowers will receive checks soon. The largest settlement payments will be made to 1,082 military service members who lost their homes illegally to foreclosure. Servicers participating in the agreement are:

• Aurora
• Bank of America
• Chase
• Citibank
• Goldman Sachs
• HSBC
• MetLife
• Morgan Stanley
• PNC Mortgage
• Sovereign Bank
• SunTrust
• U.S. Bank
• Wells Fargo

Borrowers didn’t necessarily have to apply for any settlement payment, but those who did are expected to receive double the payout of those who didn’t with the same issues.

Fannie Mae Posts Record Profit

Fannie Mae reports a record $17.2 billion profit in 2012, the first profit reported by the company since 2006.

FHA Extends HARP to 2015

Washington, DC – The Federal Housing Finance Agency (FHFA) today directed Fannie Mae and Freddie Mac to extend the Home Affordable Refinance Program (HARP) by two years to December 31, 2015. The program was set to expire December 31, 2013.
“More than 2 million homeowners have refinanced through HARP, proving it a useful tool for reducing risk,” said FHFA Acting Director Edward J. DeMarco. “We are extending the program so more underwater borrowers can benefit from lower interest rates.”