Federal Agencies and GSEs Issue Temporary Relief Measures for Borrowers Due to COVID-19

Federal housing finance authorities issued temporary relief measures for the benefit of mortgage loan borrowers affected by the COVID-19 outbreak and its economic consequences. The Federal Housing Administration and the Federal Housing Finance Agency (in its role overseeing Fannie Mae and Freddie Mac) have announced measures that require servicers to offer relief to borrowers who suffer hardship as a result of COVID-19.  The relief measures include a 60-day moratorium on foreclosures and evictions , and for Fannie Mae and Freddie Mac borrowers, expansion of forbearance and loan modification eligibility requirements and suspension of adverse credit reporting.

Read more in Mayer Brown’s Legal Update.