761 CMR, § 22.17
By the 90th day following the due date of the earliest unpaid installment, Servicer shall recommend appropriate servicing action based on the particular circumstances of each Mortgage Loan. Servicer should not recommend foreclosure until every reasonable effort has been made to arrive at a solution to delinquency, as provided above. However, once Servicer determines that no other course of action will cure the default, then Servicer should promptly recommend foreclosure, and should include in the report recommending foreclosure a brief servicing history to date and a statement of the reasons for recommending foreclosure. Servicer shall actively continue all efforts to cure the default until approval of the foreclosure has been received from MHMFA.
Servicer shall proceed with the foreclosure immediately when so directed by MHMFA.
Servicer may provide notice of impending foreclosure to Borrower prior to approval of the action by MHMFA. However, no action may actually be stated until approved by MHMFA.
Servicer shall select the foreclosure counsel, subject o MHMFA approval. All legal fees relating to foreclosure are to be paid by Servicer and all reasonable and customary legal fees will be reimbursed pro-rata by MHMFA and Seller if not collected from Borrower upon completion of the proceedings.
Servicer should prepare and forward with the recommendation of foreclosure, any documents which require execution by MHMFA.
761 CMR, § 22.17