If the borrower is able to resolve the hardship within that To be eligible for the payment deferral program, borrowers must have faced a short-term hardship that caused them to miss one to two months of mortgage payments. The payment deferral option isn’t only available for borrowers facing a coronavirus-related hardship. The program was set to be announced later this year, but with the coronavirus wreaking havoc on the country, the GSEs are rolling out the program early to give mortgage servicers another way to help borrowers now. Fannie Mae and Freddie Mac unveiled today a new “payment deferral” option that will allow borrowers facing a hardship to defer two months of their mortgage payments until the end of their mortgage. While that solution would require some serious legwork (more on that here), the two biggest sources of mortgage financing are giving some leeway to borrowers who’ve fallen behind. That’s also why the mortgage industry is asking the government to allow mortgage servicers to be able to provide affected borrowers with a 90-day break on their payments.
That’s why there’s likely going to be a giant surge in delinquent mortgages as many borrowers are unable to make their next mortgage payment. A recent report from Goldman Sachs suggested that a record-shattering number of people are filing for unemployment as the coronavirus cripples the nation’s economy.
