💸 Forbearance and Mortgage Relief Options
Do you understand your forbearance and mortgage relief options?
Earlier this year when we pressed pause on the economy and unemployment rates jumped up significantly, many homeowners were immediately concerned about being able to pay their mortgages, and understandably so. Two protection plans were put into place to help support those in need.
A pause placed on initiating foreclosures for government-backed loans. This plan started on March 18, 2020, and it extends at least through December 31, 2020.
Homeowners were able to obtain forbearance for up to 180 days, followed by a potential extension for up to another 180 days. This way, there is a relief period in which homeowners have the opportunity to halt payments on their mortgages for up to one year.
Options Available
It’s important to note that any homeowner experiencing financial hardship has the right to request forbearance. If you’re unfamiliar with the plans available, contact your mortgage provider to discuss your options. It is a necessary next step, as you may qualify for mortgage relief options or forbearance.
You also might not realize that right now is a GREAT time to sell your home. The amount of equity in homes right now is growing each day, making a move might be thes best option to protect your financial future.
CoreLogic recently published their 2020 Q2 numbers and said:
“In the second quarter of 2020, the average homeowner gained approximately $9,800 in equity during the past year.”
Bottom Line
Know your options! For the majority of people, our home is the most important asset we have, and you should use all the help available right now to be able to preserve your investment.
FOR MORE INFORMATION:
Check out the National Association of Realtors (NAR) website: Protect Your Investment guide
Consumer Financial Protection Bureau (CFPB): Homeowner’s Guide to Success
Speak to your mortgage provider
Speaking to your mortgage provider will help you figure out what is best for you and your specific situation during this difficult time.