Due to the COVID-19 pandemic, many mortgage companies and mortgage servicers agreed to forbearances for those affected by COVID and unable to pay their mortgage. The CARES Act provided for forbearances for 13 months. The forbearance moratorium ends June 30, 2021, at which time mortgage companies and mortgage servicers will be able to commence foreclosure on delinquent accounts.
The Department of Housing and Urban Development, Department of Veterans Affairs, Department of Agriculture, and the Federal Housing Finance Agency (the independent agency that oversees Fannie Mae and Freddie Mac) extended forbearances for three months for those homeowners coming to the end of their forbearance period. These departments cover roughly 2.7 million borrowers, approximately 70% of homeowners.
The American Rescue Plan provides $10 billion dollars in aid to states for use with struggling homeowners. This aid is critical in the private market whose loans are in more immediate jeopardy of foreclosure.
Please visit consumerfinance.gov/housing for up-to-date information on relief options.
The Law Firm of Marshall A. Entelisano, P.C. is committed to helping clients keep their home. If you receive a foreclosure notice or are unable to pay your past-due mortgage payments, chapter 13 provides a method by which you may keep your home and make payment arrangements on the past due amounts. In addition, this will enable to you to address your other debt issues as well with the goal of providing you with both cash flow and debt relief and to provide peace of mind knowing that you will not lose your home.
Please contact me today at 205-752-1202 to schedule a FREE consultation to discuss your financial options.