Keep Your Powder Dry

"Further, with 1.1 million seriously delinquent mortgages looming on the foreclosure horizon FHFA's timely guidance on deficiency management process may help the Enterprises recoup future losses and protect taxpayers' investment in their financial health," the report states."

I love South Dakota.  When you are out on the prairie, you realize just how small you really are.  But since the landscape is so large and you are so small, you can see threats in the distance even when they are miles away... and prepare.

In 2011, the recovery rate for the GSEs stood at 0.22%, (my comment - pretty small) which is equal to $4.7 million in clawed back losses. This is out of a potential pool of 35,321 deficiency accounts worth $2.1 billion.  "The Enterprises have room for improvement in how they manage deficiencies," the report concludes.

Housing Wire