Freddie Mac and Fannie Mae have together completed nearly 3 million foreclosure prevention actions since being placed in conservatorship in 2008 their conservator, the Federal Housing Finance Agency (FHFA) said today.  In its Foreclosure Prevention report for the 2^nd quarter of 2013 FHFA said that during the quarter the two government sponsored enterprises (GSEs) had completed more than 117,000 actions to bring the total year-to-date to 247,000. 

The majority of the actions were those that allowed homeowners to stay in their homes.  Home retention actions in the first half of the year totaled 187,477 with 123,401 of those being loan modifications.  There were 55,730 repayment plans, and 8,029 forbearance plans.  In addition the GSE's have assisted 59,671 homeowners to exit home ownership without a foreclosure.  Over 50,000 of the year-to-date home forfeiture actions have been short sales with the remainder deeds-in-lieu of foreclosure.

The Home Affordable Modification Program (HAMP) continues to be an active foreclosure prevention program with 19,247 homeowners in active HAMP modification trials at the end of the quarter. Since the beginning of the HAMP program there have been 1.04 million trial modifications started, 592,067 of which became permanent modifications.  Of those 147,020 defaulted and 12,819 paid off leaving 432,228 permanent modifications still in active status. 

The performance of modified loans remains strong.  FHFA said that as of June 30, about 11 percent of loans modified in the third quarter of 2012 had missed two or more payments.

The number of 60 day and over delinquent loans held by the GSE's declined 7 percent during the quarter to the lowest level since the start of the conservatorship in 2008.  The serious delinquency rate (90 days or more) fell to 2.8 percent at the end of the quarter compared to a 5.9 percent industry average delinquency.  The rate was also substantially below that of FHA at 7.6 percent during the quarter and the VA which had a 3.9 percent serious delinquency rate.

The Enterprises' REO inventory continued to decline during the quarter as property dispositions outpaced acquisitions. Property acquisitions dropped 7 percent while dispositions decreased 2 percent in the second quarter.