From the presentation

Selecting the Foreclosure Counsel or Trustee

  • Designated Counsel/Trustee
  • Non-designated Counsel/Trustee

Benefits of Using Designated Counsel

  • Loans in the Designated Counsel program receive foreclosure timeline benefits in the Servicer Performance Profile
  • Foreclosure and bankruptcy fees and costs are managed directly between Freddie Mac and Designated Counsel
  • Counsel will order the BPO (Broker’s Price Opinion), and prepare the bidding instructions for the foreclosure sale
  • Form 104DC (hard copy or online) is the only documentation required for reimbursement of foreclosure and bankruptcy costs

Documentation -Best Practices

  • When acquiring new servicing portfolios address missing mortgage assignment problems and other loan documentation deficiencies through due diligence reviews
  • Maintain a database of information. Include contact names and telephone numbers to help you locate representatives of prior Servicers who may need to sign missing assignments
  • Provide all reinstatement and payoff figures within 24 hours after you receive the request

Manage the Foreclosure, cont’d

  • Process the foreclosure in your institution’s name name, or MERS (Mortgage Electronic Registration System), if applicable
  • Refer to section 66.17 of the Guide

Conducting the Foreclosure Sale

Bidding Instructions for Conventional Mortgages

Some pretty interesting stuff…

Anyone want to guess who the Freddie’s designated counsel is in Florida?

Yep you got it…

Check out the full presentation below…


Freddie Mac Foreclosure Fraud Timeline Management