Shortly after being sworn in as the nation’s 46th president, Joe Biden signed several executive orders. One of these signed orders included extending the ban on evictions and foreclosures for individuals affected by the COVID-19 crisis.
This new order extends the Centers for Disease Control and Prevention’s (CDC) moratorium that was set to expire on January 31, 2021. The CDC’s order first went into effect in September 2020. This new executive order extends the ban for at least an additional two months past the expiration date.
A staggering 25 million homeowners and renters are said to be at risk of losing their homes due to the COVID-19 pandemic. President Biden’s orders were meant to demonstrate how seriously the administration takes the COVID-19 pandemic and the effect it has had on all Americans by taking immediate action to help.
President Biden asked several departments, including the Department of Veterans Affairs, Department of Agriculture, and Department of Housing and Urban Development, to also extend foreclosure moratoriums for federally backed mortgages through the end of March, and to also accept applications for forbearance on federally guaranteed mortgages, as well.
The Federal Housing Finance Agency (FHFA) had extended its moratoriums on foreclosures and evictions through the rest of February as of Tuesday, but the President also asked that this period be extended through the end of March. Any entities servicing Fannie Mae and Freddie Mac guaranteed loans were also encouraged to continue accepting applications for mortgage forbearance.
According to figures from the Center on Budget and Policy Priorities, an estimated 14 million adults currently living in rental housing were behind on their rent payments as of December 2020. This figure comes out to one in every five renters being behind on their rent. In addition, 11.8 million adults are reported being behind on their mortgage payments.
President Biden’s executive order is meant to give some immediate protection for these individuals, but it may not be enough. He has also asked Congress to approve a COVID relief bill that would provide further relief, including $35 billion in rent and utility assistance. This $35 billion would be in addition to the $25 billion in rent relief that was included in the stimulus package passed in December 2020.
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Choosing the right attorney can make the difference between keeping your home or losing it in foreclosure. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure, please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.
