Without mortgage / rent suspension, we risk an onslaught of foreclosures

[Roland99]

There will be so many people unable to pay their mortgage which will snowball their problems

And landlords will suffer on that side as renters will be unable to pay rent

Foreclosures will start picking up or people will start selling houses below market to try and save themselves

Housing prices will take a hit which will put more people underwater and then....


Ugh

If only we have leadership of any type in the White House

[Afromania]

1. If only there were actual policy makers, and people that could do math

or game out strategies other than how to steal from us.

[The Velveteen Ocelot]

2. There might be some help on the way:

https://www.npr.org/2020/03/19/818343720/homeowners-hurt-financially-by-the-coronavirus-may-get-a-mortgage-break?fbclid=IwAR0C-Q52hjjXOtbas_mdP73HjJ_SC70U1_6Gp4gDJKUcpkX6Qvbx_yhopVU

[Roland99]

4. Oh good. Just hope the burden of proof isn't too cumbersome for them

[Igel]

8. Yes, and that was two days ago.

Reporting on stuff that originated not just two days ago.

A lot of anxiety is "I don't know this, so I assume the worst is and always will be."

That works when there's no social trust. (Which, oddly, works the other way--and makes others less likely to want to help.)

[tavernier]

3. My grandson is a housing loan officer

I asked my daughter how his business was doing with all of this going on and she said that actually they are doing very well because people are coming in to remortgage their homes, and that is primarily what he does. Don’t know what will happen as time goes by but it appears that this at least will give people a bit of breathing space.

[Wellstone ruled]

5. And you will get the Rifi if you make the numbers.

If your job is toast,well forget that idea. Every Mortgage is based on Debt to Income Ratio. You make the numbers,good on you,you make the new Mortgage.

[tavernier]

6. Yes and sadly most where he works are farmers.

[Wellstone ruled]

7. One of my more interesting

jobs after flunking retirement the third time,was a Mortgage Loan Officer back in the No-Doc days of 06-07. Seen it all,including the intimidation from Builders,Real Estate Sales and Brokers,and even from WAM-MU to write crap to be bundled and sold off.

Wam-Mu fired my ass for not underwriting a few loans that I simply was not going risk going to jail for.

And yes,our first Rifi's were Ranchers looking for sucker Money because the drought was wrecking their way of life. All those new Cars and Truck payments were crimping their life style.

Never saw such a bunch of Professional People come through our door with Subprime Credit Scores ever. My guess is,we are in that same situation once again.

[Hortensis]

9. Everyone should read about what is being done

by governments and expected to be. The civil emergency of keeping people in their homes isn't actually a new idea. Not having plans for it is not our problem. Good people have been developing and tweaking those for several decades.

Putting today's massively corrupt and extremist conservatives in charge of many of those governments is.

[Progressive Law]

10. I am an eviction defense attorney, here's a write-up from a colleague...

On March 18, 2020, the Department of Housing and Urban Development (HUD) announced the Federal Housing Administration (FHA) would institute an immediate foreclosure and eviction moratorium for single-family homeowners with FHA-insured mortgages. President Donald Trump's reference to HUD's temporary suspension of "all foreclosures and evictions" was a reference to HUD's March 18 announcement.



Who is Protected?

The moratorium applies to homeowners with FHA-insured Title II Single Family forward and Home Equity Conversion (reverse) mortgages. During the moratorium, mortgage servicers must halt the initiation of all new foreclosure actions, suspend all foreclosure actions currently in process, and stop all evictions of persons living in properties with FHA-insured single-family mortgages. The moratorium will expire sixty (60) days after the March 18 announcement.



Fannie Mae and Freddie Mac have also suspended foreclosures and evictions for sixty (60) days for Enterprise-backed mortgages. "Enterprise-backed" means owned or guaranteed by Fannie Mae or Freddie Mac, as indicated here for Fannie Mae or here for Freddie Mac.



The United States Department of Agriculture Rural Development (RD) has also implemented a foreclosure and eviction moratoriums for USDA Single-Family Housing Guaranteed Loan Program (SFHGLP) mortgages and single-family direct home mortgages. During the moratorium, mortgage servicers must halt the initiation of all new foreclosure actions, suspend all foreclosure actions currently in process, and stop all evictions of persons living in properties with SFHGLP and direct mortgages. The moratorium will expire sixty (60) days after their announcements.



Who is Not Protected?

These moratoriums do not protect homeowners with other types of mortgages, including other federally-insured mortgages and privately owned mortgages not backed or insured by the FHA, Fannie Mae, or Freddie Mac.



These moratoriums also do not protect tenants who live in properties with those other types of mortgages or in units assisted by HUD or RD rental programs or Low-Income Housing Tax Credits. Almost all federal housing tenants are still left unprotected.



As of March 20, 2020, the federal government has not announced any other foreclosure or eviction moratoriums or restrictions, although future federal action may be forthcoming. Both HUD and RD have encouraged federally-subsidized rental housing providers to exercise practices that would avoid evictions. However, both agencies should fully exercise their current authority to protect assisted-families from evictions during the COVID-19 crisis.



What About State and Local Moratoriums?

Some states and local governments have announced foreclosure and eviction moratoriums for their jurisdictions.



Please visit NHLP.org for more information about housing policy responses to the COVID-19 crisis.

[Hortensis]

11. Thanks. I couldn't assume the feds would of course do more

because these aren't of-course days. But more announced this afternoon.