Foreclosure Prevention Report - Fourth Quarter 2012

Published: 03/19/2013

Fourth Quarter 2012 Highlights

Over 130,300 foreclosure prevention actions were completed in the fourth quarter, bringing the total to nearly 2.7 million since the start of conservatorship in September 2008. More than 2.2 million of these actions have helped troubled homeowners save their homes including over 1.3 million permanent loan modifications.
46 percent of troubled homeowners who received loan modifications in the fourth quarter had their monthly payments reduced by more than 30 percent.
More than a third of loan modifications completed in the fourth quarter included principal forbearance.
As of December 31, 2012, fewer than 15 percent of loans modified in the first quarter of 2012 had missed two or more payments.
Over 32,600 short sales and deeds-in-lieu were completed in the fourth quarter, bringing the full year total to nearly 141,500 in 2012.

Mortgage performance continues to improve as early stage (30-89 days) and seriously delinquent loans continued to decline during the fourth quarter.
The number of the Enterprises’ delinquent mortgages declined in 2012 in every state except New Jersey and New York.

Foreclosures continued a downward trend in the fourth quarter - third-party sales and foreclosure sales declined 3 percent and foreclosure starts fell to the lowest level since the third quarter of 2008.
REO inventory continued to decline as property dispositions outpaced property acquisitions in the fourth quarter.