Monday, March 11, 2013

Fannie & Freddie Panel Counsel Rules Changing

Effective 6/1/13, new referrals for Freddie Mac Default Legal Matters (and also Fannie Mae cases) must be sent to law firms selected and approved by Servicers. The two agencies appear to be on parallel paths in these initiatives, under requirements from their regulator the Federal Housing Financing Agency.

As you might expect, there is a lengthy Guide available online:

Servicers must fill out a form (Guide Exhibit 99) and submit it to Freddie Mac for each law firm they would like to approve. Freddie will respond with a “no objection” or “objection” response.

Law firms that are already in the Freddie Mac network must qualify under these new procedures in order to obtain future work (but not for the retention of legacy work).

Law firms selected to receive referrals must attend Freddie Mac training, which will be available starting on April 15, 2013. Presumably training is web-based; details are not apparent on the Freddie website.

On a related note, click on the link to review the maximum 2013 attorney’s or trustee’s fees that Fannie Mae allows for legal work related to foreclosures of whole mortgage loans, participation pool mortgage loans, and MBS mortgage loans serviced under special servicing options.

Legal Marketing Consultant

Legal marketing consultant Margaret Grisdela is available to discuss business development goals for small to mid-sized law firms. Contact her at, 1-866-417-7025, or via email.  

No comments: