Looking to bring some holiday relief to families in foreclosure, Freddie Mac is placing a moratorium on evictions from Wednesday, Dec. 17, 2014 through Jan. 2, 2015.
The suspension on evictions will apply to single-family homes and two to four unit multifamily properties directly owned or guaranteed by Freddie Mac.
“Today’s announcement will bring some holiday relief to borrowers who went through foreclosure and were preparing to move,” said Chris Bowden, Senior Vice President of Real Estate Owned at Freddie Mac, in a press release.
“We strongly urge homeowners with financial challenges to start the New Year by calling their mortgage servicer to explore one of the Freddie Mac workout options that have prevented over one million foreclosures since 2009,” he said.
Companies that manage evictions for Freddie Mac are allowed to file documentation during the suspension period.
Congress established Freddie Mac in 1970 to improve affordability and to stabilize the residential mortgage markets. Freddie Mac provides mortgage capital to lenders, and in turn lenders must make sure borrowers meet Freddie Mac’s requirements.
One in four home borrowers nationwide have Freddie Mac-backed loans.