GSEs’ Marching Orders for 2018 Include Examining Servicing and Appraisals
Tues Dec 26, 2017 ... By Carisa Chappell .. email@example.com
Fannie Mae and Freddie Mac plan to tackle issues related to mortgage servicing next year as part of their goals for 2018. The Federal Housing Finance Agency released the “scorecard” for the government-sponsored enterprises late last week, outlining specific priorities for the mortgage giants.
The GSEs are expected to assess the current mortgage servicing business model and develop plans to support liquidity in the mortgage servicing market. Based on information from a 2017 joint servicing market survey, the FHFA charged the GSEs to “assess the challenges and potential solutions for improving the borrower experience, expanding liquidity, and increasing efficiency of the servicing market.”
The FHFA also asked Fannie and Freddie to work collaboratively on the servicing initiative with industry members and other stakeholders.
In 2018, the GSEs are also expected to research and plan for modernizing the appraisal process, which could include revised appraisal forms and data requirements. Other highlights in the scorecard report include planning to possibly implement an alternative credit scoring system, continuing to gather information on the single-family rental market and helping the industry prepare for the single security initiative set to be completed in the second quarter of 2019.