Federal mortgage: Freddie Mac reminds homeowners affected by Hurricane Fiona of options for immediate mortgage relief
MCLEAN, Virginia – September 21, 2022 – Freddie Mac (OTCQB: FMCC) today reminded homeowners and mortgage managers of his immediate relief options for those affected by Hurricane Fiona. Freddie Mac’s Short Term Forbearance Program offers homeowners mortgage relief for up to 12 months without incurring late fees or penalties.
“Hurricane Fiona marks the first major storm of the season, so we remind Puerto Rican homeowners that Freddie Mac and our mortgage officers are ready to provide immediate mortgage relief to those in need,” said Bill Maguire, Vice President of Freddie Mac. management of the portfolio of services for single-family families. »
Freddie Mac’s disaster relief options are available to homeowners whose homes or workplaces are located in President-declared major disaster areas where federal individual assistance programs are available to individuals and affected households. Foreclosure and other legal proceedings are also on hold while homeowners are on a forbearance plan.
Once out of harm’s way, homeowners whose homes are affected should contact their mortgage agent – the company they send their monthly mortgage payments to – as soon as possible to discuss available mortgage relief options. This also includes landlords whose workplaces have been affected, resulting in financial hardship that prevents them from being able to make their monthly payment.
When they are back on their feet, owners have several options to catch up on missed payments, including additional forbearance, if needed.
- Reintegration. The option of a lump sum payment is available, but never required, if the owner’s loan is owned by Freddie Mac. If possible, however, this is the quickest way to get back on track.
- Repayment plan. Homeowners pay more each month on top of their existing mortgage payment to make up for missed payments.
- Payment deferral. This option is available if homeowners can resume making their regular monthly payments. With payment deferral, homeowners immediately become current on their mortgage and missed payments are added to the end of the mortgage term without interest or penalty.
- Loan modification. If a homeowner is facing long-term financial hardship but can make a reduced mortgage payment, a modification may be the best option.
Freddie Mac also reminds repairers that its disaster relief options are available to affected homeowners outside declared disaster areas if their home experiences an insured disaster-related loss that affects their ability to make their mortgage payment.
Affected owners who currently have a COVID-19 forbearance or other relief plan, including a previous natural disaster, should contact their servicer to discuss options.
More information is available at My Home by Freddie Mac where homeowners can read the steps they can take to help recover from a natural disaster, including frequently asked questions about disasters and mortgage relief.
Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our founding by Congress in 1970, we have made housing more accessible and affordable for buyers and renters in communities nationwide. We are building a better housing finance system for buyers, renters, lenders and ratepayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog, FreddieMac.com/blog.
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