4Q21 Highlights — Foreclosure Prevention

The Enterprises' Foreclosure Prevention Actions:

• The Enterprises completed 153,793 foreclosure prevention actions in the fourth quarter, bringing the total to 6,364,278 since the start of conservatorships in September 2008. Of these actions, 5,660,815 have helped troubled homeowners stay in their homes, including 2,503,377 permanent loan modifications.
• Initiated forbearance plans decreased to 72,146 in the fourth quarter from 75,201 in the third quarter of 2021. The total number of loans in forbearance at the end of the quarter was 178,019, representing approximately 0.59 percent of the total loans serviced, and 28 percent of the total delinquent loans.
  
• Eleven percent of modifications in the fourth quarter were modifications with principal forbearance. Modifications with extend-term only accounted for 67 percent of all loan modifications during the quarter.
• There were 308 completed short sales and deeds-in-lieu during the quarter, bringing the total to 703,463 since the conservatorships began in September 2008.​
  
  

The Enterprises' Mortgage Performance:

• The 60+ days delinquency rate dropped from 1.69 percent at the end of the third quarter to 1.34 percent at the end of the fourth quarter. The delinquency rates remained much higher than pre-coronavirus rates due to the forbearance programs offered to borrowers affected by the pandemic.
  
• The Enterprises' serious (90 days or more) delinquency rate dropped to 1.19 percent at the end of the fourth quarter. This compared with 6.48 percent for Federal Housing Administration (FHA) loans, 3.82 percent for Veterans Affairs (VA) loans, and 2.83 percent for all loans (industry average).
  
  

The Enterprises' Foreclosures:

• Foreclosure starts dropped 15 percent to 6,178 while third-party and foreclosure sales increased 27 percent to 3,213 in the fourth quarter.

​For an interactive online map that provides state data, click on the following link: 

Fannie Mae and Freddie Mac State Borrower Assistance Map​

4Q21 Highlights ​— Refinance Activities​​

• Total refinance volume decreased in December 2021 amid rising mortgage rates through November. Mortgage rates rose in December: the average interest rate on a 30-year fixed rate mortgage increased to 3.10 percent from a November level of 3.07 percent.
• Fannie Mae and Freddie Mac suspended the High LTV Refinance option in 2021. The total refinance volume from the inception to the end of the program reached 201 loans.
  
• The percentage of borrowers refinancing into shorter term 15-year fixed rate mortgages decreased to 24 percent in December as the difference between 15-and 30-year fixed rate mortgages remained in the 69 to 76 basis point range in recent months through November. In December, the difference between 15-and 30-year fixed rate mortgages increased to 75 basis points.
  

Related News Release