Responding to Hurricanes Harvey and Irma

Multifamily Wire

Jeff HaywardOur thoughts and prayers are with the people affected by Hurricanes Harvey and Irma and those still in harm’s way. The swath of destruction caused by these hurricanes is enormous, and we’re moving quickly help communities rebuild.

I know that many of you have a portfolio in the impacted region, and are already hard at work assessing damages and making repairs. We’ve heard great stories about the ways our borrowers have stepped up to help their renters. Among many other acts of kindness and compassion, they’ve started rehabilitating units the minute a neighborhood is accessible; put tenants who have been flooded into temporary furnished units; and provided moving allowances. I’m proud that Fannie Mae does business with such caring partners.

I’m also proud that our DUS® model allows our lenders to move quickly to help borrowers take those steps. On Friday, we released Lender Letter 17-10. In it, we delegate to Lenders the ability to grant forbearance, waive late fees, and allow borrowers to offer short-term leases in the FEMA-designated disaster areas. You know what your customers need better than anyone, and the strength of our delegated model is that it allows you to decide how best to assist them as they position themselves for the recovery and rebuilding effort.

Later this week, we will release additional guidance that covers how to deal with loans already under application in the disaster areas, and additional guidance for asset managers. As always, we are delegating everything we can to you – if you need more, please talk to your deal team or reach out to any member of the leadership team. We are your partners, and we stand ready to assist you however we can.

Providing relief to our customers and the communities impacted by these hurricanes is an urgent priority for Fannie Mae, and your Multifamily team is passionate about helping those in need. Our staff will be on the ground assessing the damage and looking for more ways to help communities rebuild. We are committed to partnering with you for the long haul.

Thanks for everything you’re doing and everything you’ve done so far. Please refer to the Fannie Mae Hurricane Response page for continually updated information. Stay safe out there.

Keep the faith,

Jeff