May 4, 2020
For Fixed-Severity transactions listed below, mortgage loans with COVID-19 payment forbearance shall be treated as a natural disaster and enter an 18-month grace period. This count down will cease the earlier of i) when the loan becomes current or is modified or liquidated and ii) the 18-month grace period ends.
List of impacted transactions:
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STACR
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ACIS
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2014-DN3
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2015-2
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2014-DN4
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2015-3
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2014-HQ1
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|
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2014-HQ2
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2015-1
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2014-HQ3
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2015-DN1
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2015-4
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2015-HQ1
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2015-5
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2015-HQ2
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For your reference below is the specific language included in the “Credit Event” defined term of STACR fixed severity transactions starting with STACR 2014-DN3.
“Freddie Mac will not, for a period of 18 months, declare a Credit Event based on a delinquency of 180-days or more with respect to any Reference Obligation that is affected by a natural disaster. Such 18-month period will commence the month the applicable servicer begins reporting to Freddie Mac that such Reference Obligation was affected by a natural disaster. Upon the expiration of such 18-month period, any Reference Obligation that is 180 days or more delinquent will immediately become a Credit Event Reference Obligation.”