Quote:
Originally Posted by Normal
A forbearance program is an agreement between the homeowner and lender to temporarily pause or reduce mortgage payments. Any missed payments are required to be repaid once the forbearance period ends. All extensions are now used up. Home sales have been affected when title companies have attempted to close for a sale of a pre owned home.
The deferment is different. A borrower basically just paused on payments and started back up at a later date. The close of the loan was just extended.to a new date.
Just be aware, it exists and it will soon become more than relevant. For some reason California and Nevada are just starting to feel these effects before other states. I’m not sure why. KC and Chicago offices are already working management plans. First American, Old Republic National and Chicago Title all report problems.
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I understand what a forbearance is. I am not up to date with how many homeowners have skipped payments. Apparently, there must be many if title companies are reporting problems. Honestly, I haven't heard anything about this in the news.