Freddie Mac announces steps to help homeowners affected by Isaac

Freddie Mac is taking steps to help homeowners affected by the broad swath of Hurricane Isaac. 

The government-controlled mortgage finance agency will offer a broad range of relief to homeowners affected across several states, including the suspension of foreclosure and eviction proceedings for up to 12 months and waiving late fees for borrowers with damaged homes. In addition, the agency won't report forbearance or delinquencies caused by the disaster to the nation's credit bureaus.

"Freddie Mac has authorized the nation's mortgage servicers to provide a full range of mortgage relief options to affected borrowers with mortgages owned or guaranteed by Freddie Mac," said Tracy Mooney, senior vice president of Single-Family Servicing and Real Estate Owned at Freddie Mac.

"Forbearance on mortgage payments for up to one year is one of several options our servicers have been instructed to offer borrowers on a case-by-case basis."

The relief will be offered to those with homes damaged or destroyed by the storm in Louisiana and Mississippi, where President Obama has declared disaster areas and where federal Individual Assistance programs are available to affected individuals and households. 

Estimates of insured losses from the storm, including residential property, have ranged from $500 million to $2 billion. 

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