December 2021 Securitization Forbearance Report
Freddie Mac implemented a forbearance relief plan in March 2020 that allows qualifying Multifamily borrowers to defer up to three months of mortgage payments. In June 2020, we announced new supplemental relief options for qualified affected borrowers. Per guidance released in September 2021, eligible borrowers not longer have a deadline for which to submit an initial forbearance request.
Our latest securitization forbearance report marks the first one under our new quarterly release schedule, wherein we still focus on monthly data but will only release a new report once every three months instead of once every month. Each quarterly release will use the most recent month of data (i.e., March, June, September and December) rather than summarizing findings from the three prior months.
- Master servicers on Freddie Mac securitized loans have reported 243 forborne loans totaling $2.1 billion as of December 27. This equates to 0.9% of the total Freddie Mac securitized loan population by loan count and 0.6% of the outstanding securitized unpaid principal balance (UPB).
- In December, nine loans terminated their forbearance agreement and no new loans took forbearance. Since the August 2021 report, 78 loans terminated their forbearance and 17 loans entered into a new forbearance.
- The vast majority of loans, 94.2% by loan count and 94.3% by UPB, whose forbearance period ended in December 2021 or earlier, are currently making payments or have fully repaid their forborne payments.
- There are 74 forborne loans that are in special servicing (0.1% of total securitized UPB) while 48 forborne loans are delinquent (0.1% of total securitized UPB).
Check out these links for additional information about our forbearance relief program and its impact to our Multifamily securitizations.