There is now a 60-day foreclosure moratorium for people with FHA mortgage or one backed by Fannie Mae/Freddie Mac.
There are 8.1 million active FHA loans, and Fannie/Freddie back half the country's mortgages.
wapo.st/38ZPKPY
There are 8.1 million active FHA loans, and Fannie/Freddie back half the country's mortgages.
wapo.st/38ZPKPY
Big deal: Fannie/Freddie borrowers impacted by #coronavirus can ask mortgage servicer for forbearance, allowing them to skip payments for up to *12 months.*
Big question: Will mortgage companies do a better job helping distressed homeowners than they did during financial crisis?
Big question: Will mortgage companies do a better job helping distressed homeowners than they did during financial crisis?
The mortgage industry may need to employ crisis-era tools if the economic damage from the coronavirus lingers, including forgiving loan payments all together rather than just requiring them to be repaid later, said Guy Cecala, publisher of Inside Mortgage Finance.
Stopping foreclosures/evictions is a public health response. It's not a great time to kick someone out on the street when everyone is being told to stay home.
Allowing people to skip payments/forbearance is an economic response, blunting fallout from mass layoffs, closures.
Allowing people to skip payments/forbearance is an economic response, blunting fallout from mass layoffs, closures.
