Fannie Mae & Freddie Mac Offer Relief Options
On Wednesday, March 18th Fannie Mae issued a Lender Letter outlining temporary new guidance to loan servicers due to the Impact of COVID - 19. If you have questions about your possible options, reach you to your current loan servicer. Hopefully we will get through all of this reasonably quickly.
Forbearance Plan Eligibility
To assist borrowers who have experienced a hardship resulting from COVID-19 (for example, unemployment, reduction in regular work hours, or illness of a borrower/co-borrower or dependent family member) which has impacted their ability to make their monthly mortgage loan payment, the servicer should evaluate the borrower for a forbearance plan in accordance with Servicing Guide D2-3.2-01, Forbearance Plan. The servicer must achieve quality right party contact (QRPC) with the borrower prior to offering a forbearance plan. With this Lender Letter, when determining eligibility for a forbearance plan for a borrower impacted by COVID-19, the property securing the mortgage loan may be a principal residence, a second home, or an investment property.
Suspension of Foreclosure Sales
Servicers must suspend all foreclosure sales for the next 60 days. This foreclosure suspension does not apply to mortgage loans on properties that have been determined to be vacant or abandoned.
As always I am here for you-