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Biden Approves Forbearance Extensions

By Vanessa Saunders, MBA, MIMC , Broker Owner, Global Property Systems Real Estate.

2.7 million American homeowners got a reason to celebrate Tuesday. President Biden announced the extension of the foreclosure moratorium ( see the White House Fact Sheet Here,) and mortgage forbearance initiatives through the end of June. The move was part of Biden’s efforts to control the effects of the coronavirus pandemic on the economy in general and homeowners in particular.

Biden’s extension is the second he has initiated this year after signing an executive order during his first day in office which extended the foreclosure and forbearance programs through the end of March 2021.

The president also announced Tuesday the extension of the enrollment window to apply for a mortgage payment forbearance and granted another six months of additional forbearance for homeowners enrolling before June 30th.

Not included in the announcement is the federal moratorium on evictions, which will end on March 31.

Homeowners and renters can get information about relief programs on the Consumer Financial Protection Bureau website.

The Biden administration said in a memo yesterday that the extensions “directly benefit the 2.7 million homeowners currently in Covid forbearance and extend the availability of forbearance options for nearly 11 million government-backed mortgages nationwide.”

Photo by Austin Distel on Unsplash


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