Mortgage Forbearance Issues

Some mortgage companies are offering nine to twelve month forbearances because of COVID-19. This is fine, except, if the borrower does nothing after the forbearance period ends, the mortgage company has the right to accelerate the loan and foreclose. Alternative remedies, I have learned, to avoid foreclosure, include loan modifications, FHA insurance claims, tack-on loans (which are loans offered by the mortgage companies that come due after your current mortgage is paid off), and Chapter 13 bankruptcy.

Be careful if you accepted a mortgage forbearance. Understand your options. If your mortgage company is threatening foreclosure, consult an attorney (like me 🙂) to learn ways to save your home. 540-359-6605.