Foreclosure delays in New York lead housing agency to charge adverse-market fee

TRD New York /
Jan.January 03, 2014 08:48 AM

The long foreclosure delays in the tristate area have led the Federal Housing Finance Agency to keep in place an adverse-market fee that was instituted nationwide in 2008 but removed in other states last month.

The fee is applicable to all mortgages bought by Fannie Mae and Freddie Mac, and is equal to 0.25 percent of the mortgage loan amount. The decision not to remove the fee in the tristate area – and in Florida – is a recognition by the housing agency that long foreclosure timelines have an impact on costs, according to CoreLogic’s chief economist Mark Fleming.

“If it takes two years to get through a foreclosure, time is money,” Fleming told the New York Times.

Indeed, a housing agency study from 2013 seen by the Times shows that it took, on average, 820 days to complete a foreclosure in New York, 750 days in New Jersey, and 690 days in Connecticut. The national average was 405 days. [NYT]  – Hiten Samtani


Related Articles

arrow_forward_ios
The number of mortgages in forbearance continues to climb though servicers say they are fielding fewer calls for help from property owners.

TRD Insights: Mortgage forbearances keep climbing

TRD Insights: Mortgage forbearances keep climbing
Clockwise from top left: Poughkeepsie Galleria, Crossgates Mall, Destiny USA and Walden Galleria (Credit: Google Maps; I Love NY; Visit Buffalo)

After Palisades Center, 4 more Pyramid Group malls head to special servicing

After Palisades Center, 4 more Pyramid Group malls head to special servicing
SoFla prepares for flood of foreclosures and evictions after governor’s freeze

SoFla prepares for flood of foreclosures and evictions after governor’s freeze

SoFla prepares for flood of foreclosures and evictions after governor’s freeze
Governor Andrew Cuomo (Credit: Getty Images, iStock, and Pixabay)

Cuomo’s executive order tells banks to give homeowners a break

Cuomo’s executive order tells banks to give homeowners a break
Caught up in a dozen recent lawsuits, Brooklyn developer Toby Moskovits blames her firm’s debt troubles on “collusion” and a “personal vendetta” (Illustration by The Real Deal; Moskovits by Sasha Maslov)

Creditors are banging on Toby Moskovits’ door

Creditors are banging on Toby Moskovits’ door
NYC saw a dip in home foreclosures last year (Credit: iStock)

Home foreclosures dip in NYC for 2nd straight year

Home foreclosures dip in NYC for 2nd straight year
Selina Hotel at 516- 518 West 27th Street and Adam Neumann (Credit: Google Maps, Getty Images)

Lender moves to foreclose on site of NYC hotel linked to Adam Neumann, Mexican magnate

Lender moves to foreclose on site of NYC hotel linked to Adam Neumann, Mexican magnate
Nationwide foreclosures are at a 15-year low (Credit: iStock)

Foreclosures nationwide fell to 15-year low in 2019

Foreclosures nationwide fell to 15-year low in 2019
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...