Fannie and Freddie to Buy More Delinquent Home Loans - By NICK TIMIRAOS -  Fannie Mae and Freddie Mac said they will ramp up their purchases of some $200 billion in delinquent home loans that the two government-controlled mortgage-finance companies have guaranteed.  Those loans were packaged into mortgage-backed securities … But now they are planning to buy more loans that are 120 days or more past due. The moves stem from an accounting change that makes it more cost-effective for Fannie and Freddie to accelerate purchases of delinquent loans. - WSJ Markets

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GSE loan buyback effects: Are You SITTING DOWN Folks? - You better be, when the implications of this one ripple through: McLean, VA – … What this means is that all the defaulted loans in these packages that Freddie bought up, bundled up and then puked out into the marketplace are coming home.  To Freddie.  Well, at least initially.  But now, every one of these loan files is going to get the fine-tooth-comb treatment.  … This is going to be a problem folks, because those loans in which reps and warranties … were breached due to a material falsehood of some sort will be, as a matter of fiduciary responsibility, puked back onto the bank involved. - The Market Ticker

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this is excellent - VIEWPOINT: The GSE Buyouts are Here - by LINDA LOWELL - … Since HW ace reporters have already covered the press releases, I won’t belabor the details. Instead, let’s consider why it matters, and why investors should like Freddie’s plan of attack better.  First the Basics … - HousingWire

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Must Read:  How A Centralized Loan Exchange Can Aid Secondary Market Stabilization - BY DAVE PARKER - …. In August 2009, the Mortgage Bankers Association’s (MBA) Council on Ensuring Mortgage Liquidity presented "Recommendations for the Future Government Role in the Core Secondary Market." This particular report recommends a new framework for government involvement in the single-family and multifamily secondary mortgage markets, with a focus on the roles currently played by the agencies. … - MortgageOrb

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Citi lets distressed homeowners stay 6 mos. free - By Mary Ellen Podmolik - CitiMortgage will announce Thursday a deed-in-lieu program in Illinois and five other states that could allow troubled homeowners to avoid foreclosure and remain in their homes six months for free. - Chicago Tribune

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Mortgage officials try exits softer than foreclosures - By Renae Merle - mentions Citicorp and other plans - Washington Post 

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Foreclosures Plummet In January, But Another Surge Could Be Right Around The Corner - “January foreclosure numbers are exhibiting a pattern very similar to a  year ago: a double-digit percentage jump in December foreclosure activity  followed by a 10 percent drop in January,” said James J. Saccacio, chief  executive officer of RealtyTrac  “If  history repeats itself we will see a surge in the numbers over the next few  months as lenders foreclose on delinquent loans where neither the existing loan  modification programs or the new short sale and deed-in-lieu of foreclosure  alternatives works.” … - Joe Weisenthal - Money Game at Business Insider