Thanks to the continued impact of COVID-19 on the economy, The Housing Wire, tells us that approximately 10% of borrowers whose mortgages are backed by the Federal Housing Administration or the Department of Veterans Affairs are in forbearance. That condition may mean that some percentage of borrowers may soon be facing foreclosure and need help.
The data comes courtesy of a new report from the Mortgage Bankers Association, which polled more than 50 mortgage servicers that collect payments on nearly 77% of the mortgage market.
According to those servicers, nearly 7% of the 38.3 million loans they service were in forbearance as of April 19, 2020.
That’s an increase of more than one full percentage point from the previous week’s total of 5.95%.
Forbearance is a temporary tool, a postponement of mortgage payments that lenders use to help homeowners in default. Loan owners and loan insurers may be willing to negotiate forbearance options because the losses generated by property foreclosure typically fall on them.
Prior to initiating a foreclosure, the lender must serve a notice of default and the action recorded with the register of deeds. Not less than ten (10) days after the recordation of the notice of default a copy must be sent to the borrower and others such as junior lien holders or those have requested such notice.
Someplace in here, you would talk with your lender and work out a way to get some time to avoid foreclosure. Forbearance is one of the actions that you and the lender can take.
Nebraska now primarily operates as a title theory state where the property title remains in trust until payment in full occurs for the underlying loan. The primary statute under which such foreclosures are undertaken is called the Nebraska Trust Deeds Act. Foreclosure is a non-judicial remedy under this theory.
Contact Professionals – Any time there’s a threat of losing your house, your banker may be able to refinance the loan, or your creditors may be able to give you repayment options. Contact a credit counselor. Contact a bankruptcy attorney. You need to know your options so you can make informed decisions.
Contact a professional real estate investor. You may want to sell your home fast to get out of the problem or to save your credit rating. Styl Properties, Inc. is here to help homeowners out of any kind of distressed situation. As investors, we can help homeowners out of just about any situation, no matter what! There are no fees, upfront costs, commissions, or anything else. We offer the simple truth about your home and how we can help you sell it fast.
As investors, we are in business to make a modest profit on any deal. However, we can help homeowners out of just about any situation, no matter what! There are no fees, upfront costs, commissions, or anything else. We offer the simple truth about your home and how we can help you sell it fast.
Give us a ring. We would love to help you understand the process and to answer all of your questions. You can reach us at 402 999.0577.