When Will The Foreclosure Moratorium Expire

Q: When Will The Foreclosure Moratorium Expire? Tiffany, Edison, NJ

A: The moratorium on single-family foreclosures for certain federally-backed mortgages has been extended until the end of December 2020. The extensions will benefit 25-30 million homeowners who have mortgages guaranteed by Fannie Mae and Freddie Mac.

Nearly a third of homeowners and renters entered August with unpaid housing bills. Furloughs and job losses due to the pandemic are fueling mortgage and rent defaults. It’s anyone’s guess how long the foreclosure and eviction moratoriums will ultimately expire because the foreclosure moratorium could potentially be extended again at the end of this year. Hopefully, policy makers will signal the expiration of the foreclosure moratorium to give people more time to plan for the worst rather than wait until the last minute to decide whether to extend the moratorium further into 2021. Thanks for your question, Tiffany.

For more real estate tips and information visit my blog at geraldlucas.com.