Key Takeaways from Crisis-Era Loss Mitigation Programs for the Post-Crisis Environment

On July 25th, 2016 the U.S. Department of Treasury (Treasury), the U.S. Department of Housing and Urban Development (HUD), and the Federal Housing Finance Agency (FHFA) released a summary of “lessons learned” from the government’s crisis-era housing foreclosure prevention programs, with an eye towards the future of loss prevention programs in the post-crisis environment. The agencies identified five foundational principals for any future loss mitigation program from the 10.5 million mortgage modifications completed under this program during the prior seven years. Those principles are: Accessibility, Affordability, Sustainability, Transparency, and Accountability.