Fannie Mae’s and Freddie Mac’s foreclosure prevention activity increased in the third quarter of 2011 and total nearly 2 million foreclosure prevention actions since the
beginning of conservatorship in 2008. During this period, the Enterprises completed one million loan modifications, helping borrowers stay in their homes.
According to the Federal Housing Finance Agency’s third quarter 2011 Foreclosure Prevention Refinance Report, the increase in completed foreclosure prevention activity in the third quarter was driven primarily by loan modifications and repayment plans. Two-thirds of all borrowers who received loan modifications in the third quarter had their monthly payments reduced by over 20 percent. Additionally, the Enterprises’ cumulative refinancings through the
Home Affordable Refinance Program (HARP) increased 11 percent during the third quarter to nearly 928,600 loans.