Fannie and Freddie’s regulator may soon allow the mortgage-finance giants to purchase loans in forbearance from U.S. lenders, easing restrictions that have helped to fuel strains in the $11 trillion mortgage market
A top U.S. regulator is considering taking steps to ease strains on mortgage companies facing a cash crunch as millions of Americans struggling with fallout from the coronavirus suspend their monthly payments, according to people familiar with the matter.
The Federal Housing Finance Agency is weighing whether to allow Fannie Mae and Freddie Mac, the government-controlled mortgage-finance giants, to buy home loans that recently entered forbearance, meaning borrowers have stopped making payments, the people said.
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