80 80
INVESTMENT GOVERNMENT PROPERTY PRESERVATION INDUSTRY UPDATES
Journal
FHFA EXTENDS
COVID-19-
RELATED LOAN
FLEXIBILITIES
e Federal Housing Finance Agency
(FHFA) announced that Government
Sponsored Enterprises (GSEs) Fannie Mae and
Freddie Mac will extend several loan origination
flexibilities until February 28.
e FHFA, by way of press release, says
the changes are to ensure continued support
for borrowers during the COVID-19 national
emergency. ese flexibilities initially were set
to expire on January 31.
Extended flexibilities include alternative
appraisals on purchase and rate-term refinance
loans; alternative methods of documenting
income, and verifying employment before a
loan closing; and expanding the use of power of
attorney to assist with loan closings.
e FHFA, in December, extended its
foreclosure moratorium "at least" through
January 31, as part of these efforts to assist
borrowers.
In a previous statement, Fannie Mae
said it "has taken a number of actions to help
homeowners and renters facing financial
hardship due to COVID-19. In addition to
suspending foreclosures and evictions affecting
homeowners, Fannie Mae extended eviction
protections to multifamily renters when
the property owner received a forbearance,
reminded homeowners they are never required
to repay missed payments after a forbearance
period all at once, shared tips to help
homeowners avoid foreclosure fraud or scams,
and announced a new COVID-19 payment
deferral option to help homeowners who
are ready to resume their monthly mortgage
payments following a COVID-19 forbearance.
"ese and other resources we make
available are part of our ongoing Here to Help
education effort, aimed at helping homeowners
and renters impacted by COVID-19 understand
the options available to them."
To understand the protections and
assistance offered by the government to
those having trouble paying their mortgage,
please visit the joint Department of Housing
and Urban Development, FHFA, and the
Consumer Financial Protection Bureau website
at cfpb.gov/housing.
