The CARES Act Relief Bill and How it Can Help You as a Homeowner
What is the C.A.R.E.S. Act Relief Bill and How Can it Help You as a Homeowner? The CARES (Coronavirus Aid, Relief, and Economic Security) Act is a new federal law and relief program for homeowners that may be experiencing severe financial hardship due to the coronavirus pandemic. This act provides a payment deferment option to those who have a federally-backed single-family mortgage or federally backed multi-family mortgages. Here are the three major updates that come from the CARES Act: 1. A Foreclosure Moratorium First, your lender or loan servicer may not foreclose on you for 60 days after March 18, 2020. Specifically, the CARES Act prohibits lenders and servicers from beginning a judicial or non-judicial foreclosure against you, or from finalizing a foreclosure judgment or sale, during this time. A foreclosure moratorium suspends or stops a foreclosure. Depending on your loan and who your mortgage servicer is, your options may vary. 2. Mortgage Forbearance Second, if you experie