Florida homeowners impacted by Hurricane Irma who are in a federally declared disaster area — which is most of the state — are eligible for mortgage loan deferments without penalty from the country’s three largest lending agencies.
Additionally, the IRS has announced that people who extended their 2016 income tax filings can submit their paperwork next year.
Mortgage agencies Fannie Mae and Freddie Mac who issue what are known as conventional bank loans or “A paper” loans have both told loan servicers to extend a 90-day forbearance to anyone who calls and requests it, just click here and here to find out more about their programs.
That means you can skip making your next three payments and they’ll be added to the end of the loan without any negative marks on your credit.
Quicken Home Loans (disclosure: My mortgage brokerage business is partners with Quicken) is offering that, or to allow all three payments to be made in 90 days, or to divide the payments over a 12-month period after the forbearance period ends.
Individual banks are making different arrangements, but if your loan is serviced by one of the national agencies, they’ll all honor the 90-day payment deferment which is mandatory for FHA insured home loans (click here for questions).
“Anyone who extended their business or personal tax filings due September 15th and October 15th respectively have additional extensions through January 31st to file their tax returns,” says Florida CPA Steven Price of the Fuoco Group in Boca Raton.
“You literally write Hurricane Irma on the top the filings,” Price said, “and they’ll give you relief.”
The IRS isn’t a payment extension (you were supposed to do that when extending), but rather a filing extension.
Also, many credit card companies will offer a similar disaster forbearance upon request.
For anyone who needs additional mortgage assistance, up to 12 months of mortgage forbearance is available upon request.
Call your mortgage servicer for more details.