Replies to post #629048 on Fannie Mae-No Politics (FNMA)

[Robert from yahoo bd]

Well, I don't think it's costless, simply because I think they are reimbursing the mortgage servicers money for each of these millions of loans in foreberance and the extra costs they incur in the higher serving cost ($500/ln?), plus if the MBS holders still get paid as if borrower/mortgagor is current, don't the GSES' still have to shell out the missed payments now, and get it back at some unknown time in the future?

In the meantime, do the deferred loans accrue interest?

[Angelmin]

Dr. Mark Calabria needs to be fired for this delusional subterfuge.

All investors agree with immediate effect to fire Calabria!!

[FFFacts]

There is no cost to the GSEs; all the costs are either reimbursed by the mortgagee or the servicer via loan modifications. The Regulator is mandating a fee to be paid by homeowners who are able to meet their payment obligations and are refinancing, demanding that they pay for illusory costs to benefit FnF. This is a backdoor, sneaky equivalent of increasing G fees by camouflaging the gambit as virus-related costs. This is unadulterated bullshit.

Totally and utterly wrong. After a certain amount of time usually at most 4 months the loan shifts from being the problem of the servicers to Fannie and Freddie who have to make the payments. Of course a certain amount of the loans will go into default.