General Job Summary
The Loss Mitigation Specialist is responsible for reducing foreclosure risk by working directly with delinquent borrowers to identify sustainable home retention or liquidation solutions. This role evaluates borrower financials, counsels borrowers on available options, and ensures all loss mitigation reviews are completed accurately, timely, and in full compliance with investor, insurer, and regulatory requirements.
Summary of Essential Job Functions
- Review and validate borrower financial packages for completeness, accuracy, and compliance with required documentation standards prior to underwriting evaluation.
- Process, evaluate, and monitor all workout options in accordance with GSE (Fannie Mae, Freddie Mac), FHA/HUD, USDA, VA, FHLB, GNMA, and private investor/insurer guidelines, ensuring adherence to program specific timelines and eligibility criteria.
- Ensure full compliance with federal, state, investor, and insurer regulations, including CFPB mortgage servicing rules under Regulation X and Regulation Z, throughout the underwriting review and decision making process.
- Monitor and respond promptly to departmental email queues, ensuring timely communication and resolution of borrower, investor, and internal stakeholder inquiries.
- Communicate effectively with borrowers, credit unions, mortgage insurers, attorneys, and secondary market investors to develop appropriate and sustainable workout strategies tailored to borrower circumstances and investor requirements.
- Report approved workout solutions to investors, Treasury programs (as applicable), and designated investor/vendor systems, ensuring accuracy and compliance with reporting standards.
- Provide counseling and guidance to delinquent borrowers, including participation in scheduled mitigation calls with attorneys or authorized representatives to support resolution efforts.
- Collaborate with internal departments, including foreclosure, bankruptcy, customer service, and payment processing to ensure accurate system updates, correct payment application, and timely placement or removal of foreclosure holds or cancellations.
- Coordinate with State Housing Assistance Programs and Hardest Hit Fund programs, ensuring accurate submission, tracking, and application of approved assistance.
- Maintain accurate and compliant servicing system records within ICE MSP and LoanSphere, including application of correct loss mitigation codes, comments, and status updates.
- Complete required updates and actions in investor and insurer systems, including FHA Connection, Fannie Mae SMDU, Freddie Mac Resolve, USDA LINC, VA Valeri, and FHLB eMAQCS, ensuring all data is current and accurate.
- Ensure accuracy of payment posting and suspense management for loans undergoing loss mitigation review or active workout plans, preventing misapplication and ensuring compliance with investor and regulatory requirements.
- Manage individual and shared departmental email inboxes, responding promptly and professionally to internal and external inquiries.
- Provide backup support to team members during high volume periods or staffing shortages to ensure service level expectations are met.
Other Job Functions
- Participate in all required departmental training sessions and BAI trainings.
- Regularly review and monitor updates to workout programs, including GSE (Fannie Mae, Freddie Mac), FHA/HUD, VA, FHLB, USDA, and state assistance initiatives, ensuring timely adoption of new requirements and procedural changes.
- Support continuous improvement efforts by providing feedback on processes, identifying workflow gaps, and assisting with implementation of best practices.
- Perform additional duties and responsibilities as assigned by leadership, including special projects, audits, quality control initiatives, or cross functional support as business needs evolve.
