Anyone thinking of skating on mortgages owned by eitherFannie Mae or Freddie Mac may want to think again. As a result of new government reports, the two companies say they are going to do a better job of going after so-called strategic defaulters.
Fannie and Freddie can pursue judgments against borrowers who walk away from their loans even though they have the ability to make their payments. That’s called a strategic default, and many borrowers are taking that step — typically throwing in the towel because their homes are no longer worth as much as they owe.
Ah, memo to LA Times: Fannie and Freddie can’t collect from California. California is an ‘anti-deficiency’ state. http://stopforeclosurefraud.com/2013/10/15/dont-worry-the-l-a-times-was-wrong-fannie-and-freddie-cant-collect-anything-in-california/