Fannie Mae and Freddie Mac as well as all HUD supported mortgages took action when the National Emergency was declared for the Corona Virus Covid-19 Pandemic and issued orders suspending all foreclosures and evictions in residential property in which they had issued or guaranteed mortgages. That suspension was to expire on May 17, 2020.

The Federal Housing Finance Agency which controls Fannie and Freddie has now taken action to extend the moratorium until June 30, 2020. The President has also directed HUD to extend its moratorium also.

We take this opportunity to remind everyone that a forbearance must be requested from you mortgage servicer. Eventually, forebearances may be extended for up to one year and in certain circumstances a “deferment” may be granted. It is our understanding that deferments will only be available to people who have been granted a forbearance. A forbearance just postpones the missed payments to a late date when they are all due. A deferment adds the missed payments onto the end of the mortgage and effectively extends the mortgage term.

A Chapter 13 bankruptcy is an alternate method to deal with missed mortgage payments.

The attorneys in the law office of Stephen M. Goldberg, PC, will be glad to speak with you to assist you in determining a course of action to deal with missed mortgage payments. We are available at 732-752-8834. Call for an appointment if you would like to speak with us.