Nearly half of Fannie Mae's eligible servicers
are on track to receive at least a three STAR rating for 2011. Fannie
Mae announced third quarter results for STAR, the Servicers Total Achievement
and Rewards Program, which was established by Fannie Mae in February as a
component of its overall efforts to prevent foreclosures and stabilize
neighborhoods.
Sixteen
of 33 servicers completed the third quarter in a position to be at the median
or above on STAR standards which Fannie Mae says lay out clear expectations for
servicer performance and provide consistent measurements of that
performance. The Servicer Performance
Scorecard, a key component of STAR, provides monthly performance snapshots and
trends for key performance indicators to help servicers effectively assess
their progress. Servicers who score well
on the evaluations will be eligible for performance awards and recognition and
rankings of top performers will be available to the public by way of an annual
scorecard.
The servicers are categorized into
three peer groups based on the number of Fannie Mae loans they service. As
of the end of the third quarter, the following servicers by category are on
track to be at or above median performance for the entire year.
In Peer Group One which consists of
11 servicers: CitiMortgage, Inc., Everbank, GMAC Mortgage, LLC (Ally Bank),
Wells Fargo, N.A.
Peer Group Two consisting of 9
servicers: Aurora Bank, FSB, Central Mortgage Company,
Fifth Third Bank, The Huntington National Bank, and Regions Bank.
Peer Group Three with13 servicers: American Home Mortgage Servicing, Inc., Arvest
Mortgage Company, Associated Bank, NA, Capital One, N.A, Colonial Savings,
F.A., Doral Bank, Manufacturers and Traders Trust, Co., Nationwide Advantage
Mortgage Co., Navy Federal Credit Union
In addition, two Peer Group One
servicers, JP Morgan Chase Bank, N.A. and PHH Mortgage Corporation pulled up
their performance to a level at or above the median performance level for the
third quarter as did U.S. Bank N.A., a
Peer Group Two servicer.
Fannie Mae will publish final 2011
STAR rating results in early 2012. The overall STAR rating will be
dependent upon outcomes from the operational assessments as well as the
servicer's results on the Servicer Performance Scorecard.