Fannie Mae and Freddie Mac, currently the largest holders of U.S. home mortgages, are fast becoming big landlords. But some real estate agents say the firms' unwillingness to evict tenants from properties they inherit could slow the housing market's recovery.
Freddie Mac, bowing to pressure from affordable-housing advocates, said Friday it would let renters remain in homes lost to foreclosure. The mortgage-finance company will begin next month offering monthly leases to tenants, following the lead of Fannie Mae, which rolled out a similar policy earlier this month. Both companies said Friday they would halt tenant evictions in February.
Saturday, January 31, 2009
Fannie, Freddie Criticized on Rental Policy: Some Real-Estate Agents Say Mortgage Giants' Failure to Evict Tenants Could Slow Housing Rebound
The Wall Street Journal reports:
