When do the CARES Act protections end?
The CARES Act (Coronavirus Aid, Relief, and Economic Security Act) was enacted in March 2020 and contains provisions to help borrowers with federally backed mortgage loans get through pandemic related financial challenges. But 9 months and many extensions later, the various federal agencies are taking a piecemeal approach to forbearances and foreclosure and eviction moratoriums, resulting in differing deadlines for different types of federally backed loans.
WHEN WILL THE FORECLOSURES RESUME?
FHFA currently has foreclosure and eviction moratoriums in place through Jan 31, 2021, while FHA, VA, and the USDA have a different deadline of Feb. 28, 2021, for their foreclosure and eviction moratoriums.
HOW LONG DO YOU HAVE TO APPLY FOR A FORBEARANCE?
Fannie Mae and Freddie Mac
Owners of single family residences can continue to apply for 180 day forbearance or extensions until Fannie Mae provides further notice. No end date has been announced. Owners of multifamily residences can request a 30 day forbearance with two possible extensions, until March 31, 2021.
Department of Veterans Affairs (VA)
Eligible borrowers may request forbearances for 180 days, plus an additional 180 days through April 1, 2021.
Federal Housing Administration (FHA)
Single-family borrowers with FHA-insured mortgages can request an initial COVID-19 forbearance from their mortgage servicer until Feb. 28, 2021.
US Department of Agriculture (USDA)
Borrowers with USDA loans can apply for a 180 day forbearance as well as extensions until Feb. 28.2021.
Last Updated on January 11, 2021 by Minna Reid