Fannie Mae Prevents Foreclosures but Layoffs Employees
Fannie Mae, a mortgage giant which has been taken over by the government last year is now laying off hundreds of its local employees as it has now chosen to prioritize foreclosure prevention.
Most layoffs will be among employees in communications, technology administration, and single-family unit, which is responsible for buying mortgages from lenders. However, Fannie Mae plans to increase their employees in some areas such as in Dallas, where their loss mitigation and foreclosure prevention units are at. The reduction of employees in some areas and increasing employees in other areas are needed so the company can meet its primary objectives.
The total number of Fannie Mae’s employees in 2009 is expected to be the same to that of 2008, at just about over 5,000.
It is good to know that Fannie Mae is making efforts to realign its company’s resources, organization, and personnel. The fact that it has focused itself into preventing foreclosures is actually a favorable one. It has declared freezing of evictions and foreclosure properties until the end of the month and a new program for loan modification of thousands of delinquent borrowers. With these actions of Fannie Mae, homeowners are helped to keep their homes and are also aided for their recovery.
Just before Fannie Mae has been taken over by the Federal Housing Financing Agency in September as a response to flooding of foreclosures, its sister companies Freddie Mac and McLean used to be landmarks of Washington’s business scene. A lot of people have been working there for decades, attracted by a housing-related job, and a steady income within the private sector.
The transformation of Fannie Mae is bad news for its employees who have lost their jobs. On the other hand, it is good news for distressed homeowners who are behind their mortgage payments as there is more help available for them to avoid foreclosures and keep their homes.
Related Posts:
- Fannie Mae and Freddie Mac Express More Effort to Control Evictions Due to Foreclosures
- Fannie Mae’s Foreclosure Properties Prevention Work
- MBA Says Repo Property Prevention Program Moving Slowly
- Buy Foreclosed Home for Sale under Fannie Mae Lease Option
- Financial Institutions Urging the Treasury to Reduce Mortgage Rates to Stop the Surge of Foreclosure
