Washington Report

Advocacy Updates from Washington D.C.

NAR Asks FHFA to Extend Forbearance Purchase Program

NAR sent a letter to the Federal Housing Finance Agency (FHFA) requesting it to extend the GSEs' program of purchasing eligible loans that enter forbearance after closing and funding, but prior to purchase by Fannie Mae or Freddie Mac. The program is set to expire on August 31.

While the volume of loans that fall into this group is low, the threat of locking up lenders' lines, in part, has resulted in lender overlays. Furthermore, this volume could rise in the fall.

NAR's Letter to the FHFA