NEW YORK Jan 13 Fannie Mae FNM.P FNM.N
said it would allow qualified renters of foreclosed properties
owned by the government-controlled home funding company to stay
in their houses.
Under its new National Real Estate Owned (REO) Rental
Policy, renters in homes at the time Fannie Mae acquires the
property will be offered a new monthly lease with Fannie Mae at
market-rate rent or financial help with new housing if they opt
Eligible renters are those living in two- to four-unit
properties, condos, co-ops, single-family detached homes and
manufactured housing, Fannie Mae said on Tuesday in a
statement. The properties need to meet state and local codes
"Renters in foreclosed properties have often been a
casualty of the foreclosure crisis the country is facing,"
Michael Williams, chief operating officer of Fannie Mae, said
in the statement.
The company has an eviction suspension in place through the
end of January, which will allow for the new policy to be fully
operational prior to the suspension concluding.
Plans were announced in mid-December for the new
foreclosure rental policy, which is now fully implemented, a
Fannie Mae spokeswoman said.
Fannie Mae said it will manage the properties through a
real estate broker or a property management company while
marketing the units for sale.
(Reporting by Lynn Adler, Editing by Chizu Nomiyama)