This topic contains Fannie Mae’s requirements for eliminations and rescissions of foreclosure sales. “Elimination” is the process of removing a property from Fannie Mae’s REO inventory system of record. “Foreclosure Sale Rescission” is the legal process of reversing a foreclosure sale and removing Fannie Mae as titleholder to the property. There are circumstances in which a foreclosure sale rescission may not involve elimination. However, if an REOgram has been submitted with an associated foreclosure sale, an elimination will also be necessary.
When the servicer identifies an issue that requires an elimination and/or rescission of the foreclosure sale, the servicer must submit a request for elimination and/or rescission within five days.
To submit a request for elimination and/or rescission, the servicer must complete and submit the Elimination/Rescission Request Template.
When Fannie Mae identifies an issue that requires a property to be eliminated from its REO inventory or a foreclosure sale to be rescinded, Fannie Mae will initiate the elimination and/or rescission process.
For more information please see: E-4.1-02: Eliminations and Rescissions of Foreclosure Sales