FHFA Draft Legal Services Guidelines Not Favorable to Trustees

UTA is working to change
FHFA guidelines

Despite a seemingly amicable visit from a UTA delegation in February, FHFA’s proposed draft guidelines for default and foreclosure-related legal services mandate that Trustees use an attorney when working with Fannie and Freddie loans.  Fannie Mae and Freddie Mac are phasing out their existing Designated Counsel and Retained Attorney Network Program and adopting uniform standards for servicers and law firms providing default and foreclosure-related legal services.

UTA is preparing comment on the draft guidelines detailing the number and scope of audits that Trustees are subjected to and the proliferation and use of in-house counsel and/or access to counsel.   UTA is working to change the guidelines to indicate that an ‘attorney, trustee or other qualified entity’ can handle foreclosures. 

Read UTA’s initial position paper to FHFA