December 15, 2011Fannie Mae Announces Third Quarter Servicer Results
WASHINGTON, DC – Today, Fannie Mae (FNMA/OTC) announced Servicer Total Achievement and Rewards (STAR) Program results through the third quarter of 2011. The STAR program, announced in February 2011, measures the performance of servicers with an emphasis on foreclosure prevention. Encouraging servicer improvements through the STAR Program is an important component of Fannie Mae’s overall efforts to prevent foreclosures and stabilize neighborhoods.
“The STAR program evaluates servicers’ capabilities and results and holds them accountable for preventing foreclosures and protecting the interests of American taxpayers,” said Tara Clayton, Vice President of Servicer Review and Measurement, Fannie Mae. “STAR is making a difference when it comes to increasing servicers’ focus on areas of critical importance to homeowners, Fannie Mae, and the market.”
Servicers are categorized into three peer groups based on the number of Fannie Mae loans they service and measured based on performance metrics and results from operational assessments across key business processes. As of the end of the third quarter, the following servicers are on track to be at or above median performance in order to achieve at least a three STAR rating for 2011:
During the third quarter, JP Morgan Chase Bank, N.A. and PHH Mortgage Corporation, both Peer Group One servicers, and U.S. Bank N.A., a Peer Group Two servicer, demonstrated improvements in STAR Scorecard metrics measuring the volume of foreclosure alternatives provided to homeowners, such as modifications. This improvement resulted in all three servicers achieving at or above the median performance level for the third quarter measurement period.
Fannie Mae will publish final 2011 STAR rating results in early 2012. The overall STAR rating will be dependent upon outcomes from the operational assessments as well as the servicer’s results on the Servicer Performance Scorecard. STAR results for the first half of 2011 can be found at: Fannie Mae Releases Servicer Ratings for First Half of 2011 and Fannie Mae Releases Additional Servicer Results for First Half of 2011.
Fannie Mae exists to expand affordable housing and bring global capital to local communities in order to serve the U.S. housing market. Fannie Mae has a federal charter and operates in America's secondary mortgage market to enhance the liquidity of the mortgage market by providing funds to mortgage bankers and other lenders so that they may lend to home buyers. Our job is to help those who house America.
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