Retention Options
Fannie Mae offers servicers a flexible way to help more borrowers retain their homes while enduring a hardship.
Forbearance
A mortgage forbearance plan is an agreement between the mortgage servicer and the homeowner to pause or reduce monthly mortgage payments for a certain period, allowing homeowners to resolve their short-term hardship.
Learn more about forbearance.
Payment Deferral
A payment deferral adds (defers) missed payments (principal and interest) to the end of the mortgage loan term as a non-interest bearing balance. The balance is due at the maturity date or earlier upon the sale or transfer of the property, refinance of the mortgage loan, or payoff of the interest-bearing balance of the loan. Upon completing the payment deferral, the homeowner continues paying their regular monthly mortgage payment in accordance with its terms. View payment deferral overview.
Loan Modification
A loan modification might be available to eligible borrowers who have experienced a permanent or long-term hardship and whose loans are delinquent, or are determined to be in imminent default in accordance with the Servicing Guide.
Flex Modification
The Flex Modification offers eligible homeowners mortgage payment relief. The terms of the modification are determined by applying a series of steps designed to achieve a 20% principal and interest payment reduction target.
- For eligible borrowers current or less than 90 days delinquent, the modification requires a complete Borrower Response Package.
- For eligible borrowers 90 or more days delinquent, the modification does not require a Borrower Response Package.
Learn more about Flex Modification.
Borrower Assistance
Help Borrowers Avoid Foreclosure
- Fannie Mae.com consumer website explains the range of options available to homeowners in extraordinary circumstances and provides guidance on how to seek help.
Default-Related Legal Services
Managing Default-Related Legal Services
Resources are available to assist in default-related legal services.
- Conducting Default-Related Law Firm Compliance Reviews FAQs
- Excess Attorney Fee/Cost Guidelines
- Allowable Title Cost for Fannie Mae Foreclosures
- Mortgage Default Counsel Retention Agreement Amendment 2018-3 - 8/2/18
- Mortgage Default Counsel Retention Agreement Amendment 2018-2 - 6/6/18
- Mortgage Default Counsel Retention Agreement Amendment 2018-01 - 4/18/18
- Mortgage Default Counsel Retention Agreement
- Schedule of Legal Fees and Costs
- Amendment 2023-02 to Fannie Mae MDC Retention Agreement – 10/30/2023
- Amendment 2023-01 to Fannie Mae MDC Retention Agreement – 08/03/2023
- Amendment 2022-03 to Fannie Mae MDC Retention Agreement – 09/13/2022
- Amendment 2022-02 to Fannie Mae MDC Retention Agreement – 06/29/2022
- Amendment 2022-01 to Fannie Mae MDC Retention Agreement – 01/05/2022
