Mortgage Repayment Options

The year 2020 has presented us with many different struggles and challenges, some may even call this time period the greatest crisis since The Great Depression. The outbreak of Covid-19 has certainly turned the world upside down and created a ripple effect of struggles within all major industries including the housing market. With unemployment rates on the rise all over the world, eviction has now become a threat and millions have been left with the lingering question of how to retain their housing without substantial income.

Government agencies Fannie Mae and Freddie Mac are continuing in their efforts of doing what they can to lessen the burdens for homeowners in the United States, and for those who are questioning what their options are for deferring their mortgage payments or how to bring their payments up to date, they have provided some helpful resources.

As of July 2020, Fannie Mae has introduced the Covid-19 Payment Deferral Program as a new option for homeowners who have missed mortgage payments due to economic hardship related to the Covid-19 Pandemic. According to Fannie Mae, this deferral program allows eligible individuals to defer their payments to a later date with no interest either “at the maturity date or earlier upon the sale or transfer of the property, refinance of the mortgage loan, or payoff of the mortgage loan.” This is a great, easy option for those who are eligible and both Fannie Mae and Freddie Mac follow its requirements for implementation.

For those who are ineligible for the Covid-19 Payment Deferral or have resolved their financial troubles, Fannie Mae provides other options including: reinstatement, repayment plans and the Fannie Mae Flex Modification.

For more information on program eligibility and helpful resources regarding what the best option may be for you to begin the repayment of your mortgage, call Omega today to schedule a free with one of our specialists.