Federal Housing Administration (FHA) Loans:
The U.S. Department of Housing and Urban Development (HUD) provides a 90-day moratorium on foreclosures of FHA-insured home mortgages following natural disasters, so long as the property is:
- Within the boundaries of a presidentially declared disaster area, and
- The property was directly affected by the disaster.
This time period may be extended if the disaster affects a large area, or is especially severe.
If your ability to make monthly payments toward your FHA-insured mortgage loan has been impaired by a federally declared disaster, you should apply for a forbearance with your mortgage loan servicer. Servicers may not refer a loan to foreclosure or conduct a scheduled foreclosure sale if you have requested consideration and are being evaluated for a federally declared disaster forbearance plan.
To find out if your loan is FHA insured, call your loan servicer and ask if your loan is a FHA loan.
Fannie Mae and Freddie Mac Loans
Fannie Mae and Freddie Mac implement a 90-day foreclosure sale suspension immediately following a natural disaster if the property is within a federally designated disaster area.
To find out if Fannie Mae owns your loan, go to http://knowyouroptions.com and click on “Loan Lookup” in the upper-right corner. To find out if Freddie Mac owns your loan, go to https://ww3.freddiemac.com/corporate.
Veteran’s Affairs (VA) Loans
During times of natural disasters, the VA encourages loan holders and servicers to
- Establish a 90-day moratorium on initiating new foreclosures, and
- Help individuals affected by a natural disaster by offering forbearance or modification of veterans’ loans.