As part of the Corona Virus response from the Federal Government, the Feds have provided an option for homeowners to not make their mortgage payments, with no need to prove a hardship or inability to pay.This is called Forbearance.
There are many moving parts to the mortgage industry, most of which homeowners aren’t aware. I can’t cover all of the behind the scenes details in one post or video, but I wanted to send out this video and basic outline of the potential harm this option can cause.
The bottom line is, if you can make your mortgage payments, please do so. If too many of us don’t, our future lending world and options to borrow for a home loan will get diminished and our home values will decline. Buyers won’t have the ability to meet new lender requirements. Fewer buyers, in any segment of the housing market, impacts all of the housing market–in a negative way.
Let’s limit the impact of the Corona Virus to our health and general economy, not spread it into our housing market. I have lenders able to help you or someone you care about to get financing but we don’t want to lose our options by people unnecessarily avoiding their mortgage payments. I hope you enjoy the video; Live from the Tiki Lounge.