The bill would let borrowers with qualifying federally backed home or multifamily mortgages request payment forbearance if their property is in an area covered by a disaster declaration. Borrowers must affirm they are experiencing financial hardship. Servicers would have to grant 180 days of forbearance, regardless of whether the loan is delinquent. Borrowers could request an extension of up to 180 days and could end forbearance at any time. The bill would apply to disasters declared on or after January 1, 2025.
If your property is in a declared disaster area and your mortgage qualifies, you could ask your servicer for forbearance during the period of the disaster declaration. You could make the request in writing, by phone, online, or through another method the servicer allows. During forbearance, extra fees, penalties, and interest would not accrue, though interest scheduled under the mortgage terms could still accrue.
The bill does not specify government or administrative costs. It says that fees, penalties, and interest beyond amounts scheduled under the mortgage contract would not accrue during forbearance.
No publicly available information.
No publicly available information.