Fannie Mae - Temporary Foreclosure Halt

Courtesy of Gillian Meadows, with Humphries Mortgage:

"I received this email today from one of the investors that I work with, "Flagstar".

Fannie Mae has issued Lender Letter 04-08 announcing that they are halting all foreclosure sales on occupied single-family properties that are scheduled to occur from November 26, 2008 through January 9, 2009.

This temporary halt also applies to eviction lockouts of occupied single-family properties.

These actions allow affected borrowers to retain their homes

while Fannie Mae works with their regulator and conservator, the Federal Housing Finance Agency, to implement the previously announced streamlined loan modification program by December 15, 2008.

To facilitate borrower communications, servicers must instruct foreclosure attorneys to send letters to borrowers

whose foreclosure sales are halted urging them to contact their servicer, so that together, the servicer and borrower can continue working to resolve the delinquency.

For complete details, including other servicing and reporting requirements, please see Fannie Mae Lender Letter 04-08 on the 2008 Lender Announcements and Letters page on eFannieMae.com and the news release on fanniemae.com