Foreclosures and evictions could be halted for rest of 2021

Consumer Financial Protection Bureau eying restrictions on mortgage servicers

National /
Apr.April 06, 2021 11:45 AM
(iStock/Illustration by Kevin Rebong for The Real Deal)

(iStock/Illustration by Kevin Rebong for The Real Deal)

An onslaught of home foreclosures and evictions could be forestalled for another year.

The Consumer Financial Protection Bureau is looking at restrictions on mortgage servicers that would prevent struggling homeowners from going straight into foreclosure.

The agency has proposed a measure to stop mortgage servicers from proceeding with foreclosures until after Dec. 31, according to the New York Times. The idea is to give borrowers more time to get a mortgage modification that reduces their monthly payments.

Another rule would allow servicers to offer loan modifications to homeowners who have suffered from the pandemic without going through the full review required to adjust a mortgage, the Times reported.

More than 3 million households are past due on their mortgage payments, and nearly 1.7 million will hit the end of their forbearance periods in September, according to the consumer agency, the Times reported.

The agency is seeking public comment on its proposals.

[NYTimes] — Keith Larsen


Related Articles

arrow_forward_ios
Ai Weiwei with 708 New Forge Hallow (Getty, Compass)
Ai Weiwei–designed home sells for $5M
Ai Weiwei–designed home sells for $5M
Montauk Point (Getty)
More than $8B worth of Hamptons homes sold during pandemic
More than $8B worth of Hamptons homes sold during pandemic
Westchester continues to see strong sales despite low inventory (Getty)
Westchester home sales stayed strong in Q1
Westchester home sales stayed strong in Q1
New Jersey Gov. Phil Murphy (Getty)
NJ order tapping security deposits to pay rent is back in court
NJ order tapping security deposits to pay rent is back in court
A Jersey City development meant to update sewer infrastructure, build climate resilience and create a two-acre park has completed phase one of environmental cleanup. (Aerial via Ennead Architects)
Argent Ventures, H&R advance 18-acre Jersey City development
Argent Ventures, H&R advance 18-acre Jersey City development
90 Jule Pond Drive (Sotheby’s International Realty)
Hamptons estate asking $145M under contract, may set record
Hamptons estate asking $145M under contract, may set record
90 Jule Pond Drive is on t he market for $145 million (Sotheby’s International Realty)
$145M Hamptons estate languishes on market amid surging demand
$145M Hamptons estate languishes on market amid surging demand
Luba Marks and 1210 Meadow Lane (Wikipedia, Elliman, iStock)
Luba Marks’ Southampton home, asking $37M, in contract
Luba Marks’ Southampton home, asking $37M, in contract
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...