Federal Housing Administration Extension

 

HUD Press Release: Media Advisories

 

FHA EXTENDS FORECLOSURE AND EVICTION MORATORIUM FOR SINGLE FAMILY HOMEOWNERS FOR ADDITIONAL TWO MONTHS
Extension Through August 31, 2020, Provides More Security for Homeowners Impacted by the Coronavirus Outbreak

 

WASHINGTON – Today, the Federal Housing Administration (FHA) announced a two-month extension of its foreclosure and eviction moratorium through August 31, 2020, for homeowners with FHA-insured Single Family mortgages. This extension provides additional security and peace of mind to homeowners that they will not lose their homes while they are trying to recover financially.

FHA’s Single Family foreclosure and eviction moratorium extension applies to homeowners with FHA-insured Title II Single Family forward and Home Equity Conversion (reverse) mortgages, and continues to direct mortgage servicers to:

  • Halt all new foreclosure actions and suspend all foreclosure actions currently in process, excluding legally vacant or abandoned properties; and
  • Cease all evictions of persons from FHA-insured Single Family properties, excluding actions to evict occupants of legally vacant or abandoned properties.

“While the economic recovery is already underway, many American families still need more time and assistance to regain their financial footing,” said HUD Secretary Ben Carson. “Our foreclosure and eviction extension means that these families will not have to worry about losing their home as they work to recover from the financial impacts of COVID-19.”

“FHA is committed to working with borrowers impacted by COVID-19 and this second extension of the foreclosure and eviction moratorium is another sign of the unprecedented steps HUD is taking to assist those impacted by this terrible pandemic,” said Acting Federal Housing Commissioner Len Wolfson.

Homeowners with FHA-insured mortgages should continue to make their mortgage payments during the foreclosure and eviction moratorium if they are able to do so, or seek mortgage payment forbearance pursuant to the Coronavirus Relief and Economic Security Act (CARES) Act from their mortgage servicer, if needed.

Pursuant to the CARES Act, FHA requires mortgage servicers to:

  • Offer borrowers with FHA-insured mortgages up to a year of delayed mortgage payment forbearance when the borrower requests it. FHA does not require a lump sum payment at the end of the forbearance period
  • Assess borrowers who receive COVID-19 forbearance for its special COVID-19 National Emergency Standalone Partial Claim before the end of the forbearance period. The COVID-19 National Emergency Standalone Partial Claim puts all deferred mortgage payment amounts owed into a junior lien which is only repaid when the borrower sells the home, refinances the mortgage, or the mortgage is otherwise extinguished.

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HUD’s mission is to create strong, sustainable, inclusive communities and quality affordable homes for all.
More information about HUD and its programs is available at www.hud.gov and https://espanol.hud.gov.

For information about Opportunity ZonesOpportunity Zones visit: https://opportunityzones.hud.gov/

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HUD COVID-19 Resources and Fact Sheets

About the Author

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Rachel Barfield

I love what I do as Marketing Coordinator for Keystone Signature Properties! It has been such fun to be a part of this team for 4 years now and it just keeps getting better! I have been married for 14 years and am a blessed mommy to two wonderful boys. They are my world!! Some things I love to do for fun are reading, watching movies, playing at the beach, time spent with my boys and visiting family and friends. Family and faith are very important to me and I love that here at Keystone Signature Properties that is a huge part of who we are!