Freddie Mac offers aid to homeowners hurt by Hurricane Irene

Freddie Mac recently announced it will suspend foreclosure and eviction proceedings for the next 12 months on distressed properties damaged by Hurricane Irene. The government-sponsored entity will also waive assessments of penalties and late fees against affected borrowers and hold off on reporting delinquencies caused by the hurricane to credit bureaus.

Housing Wire reported that Freddie Mac is giving mortgage servicers discretion in reducing or suspending mortgage payments for the upcoming yet. Servicers will, however, have to individually assess each case to determine what level of assistance would best meet homeowners' needs.

The recent hurricane disaster on the East Coast has also spurred the National Association of Realtors to urge Congress to extend the National Flood Insurance Program set to expire September 30, leaving many American homeowners without flood coverage. In addition, the NAR aims to have the federal government develop a national policy to provide homeowners with access to affordable comprehensive property insurance to cover risk of natural disasters beyond floods.

"Whether it's a tornado, flood, hurricane, or earthquakes like those that hit Colorado and the Eastern U.S....every region of the country is susceptible to nature's unexpected fury," NAR president Ron Phipps said. 

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