MBA Residential Mortgage Briefs - March
Fannie Mae and Freddie Mac are reminding those impacted by flooding across the Missouri River Basin of available mortgage assistance options. Under the GSEs' guidelines for single-family mortgages:
--Homeowners impacted by the Missouri River Basin flooding are eligible for payment forbearance of up to 12 months, during which time they:
----will not incur late fees during this temporary payment break
----will not have delinquencies reported to the credit bureaus
--Servicers are authorized to suspend or reduce a homeowner's mortgage payments immediately for up to 90 days without any contact with the homeowner if the servicer believes the homeowner has been affected by a disaster. Payment forbearance of up to 12 months is available in many circumstances.
--Servicers must suspend foreclosure and other legal proceedings if the servicer believes the homeowner has been impacted by a disaster.