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DEFICIENCY FROM SHORT PAYOFFS AND DEEDS-IN-LIEU OF FORECLOSURE

We have updated the Guide to reinforce the requirement that the Servicer, for itself and on behalf of Freddie Mac, must waive all rights to pursue payment of the remaining balance owed by the Borrower under a Freddie Mac-owned Mortgage for all approved short payoffs and deed-in-lieu of foreclosure transactions that have closed in accordance with the Guide and applicable law.

Sections B65.41, Remittance Requirements,

Closing, Reporting and Remittance Requirements, and B65.48, Closing, Reporting and, have been updated to reflect this additional information.

Click here for Freddie Mac Bulletin Number 2012-5 - Effective Feb. 15, 2012.