Today’s uncertainty has affected every aspect of life in America, but one thing is for sure: the work of DUS® lenders and multifamily borrowers is more necessary than ever to keep renters in their homes. You can count on Fannie Mae’s expertise and support to help navigate new policy and relief programs as efficiently as possible.
COVID-19 (Coronavirus) has affected millions of Americans, through the loss of a job or income, or illness. If borrowers and renters are having a hard time making their monthly payments, mortgage lenders can offer relief. As a DUS lender, you can grant forbearance to a customer with the delegation Fannie Mae provided you. As a borrower, you can provide renters with much-needed housing support.
What’s Changed for DUS Lenders
Multifamily forbearance guidelines have been updated to address the current challenges. Now, mortgage lenders can provide mortgage relief for up to three months if their customer’s ability to pay has been affected by COVID-19-related hardships. Read more updates here.
What’s Changed for Borrowers
Multifamily borrowers have access to forbearance and relief through their DUS Lenders. New guidelines were put in place to ensure that there will be no incurring late fees or default interest when the repayment is due. In return, borrowers will suspend evictions for (i) 120 days after the enactment of the CARES Act, (ii) the months of the forbearance, and (iii) as otherwise required by law.
If you are a multifamily borrower who is helping house America and facing financial challenges at this time, speak with your DUS Lender about forbearance and how it can help you and your renters.
Support is also available for your renters who might be experiencing hardships related to COVID-19. Encourage them to explore their options by visiting the Renters Resource Finder. The tool is easy to use – multifamily renters simply input their address, which matches them with applicable resources that may be helpful for renters experiencing financial hardships. We also have a printable flyer for you to share with your renters. This includes information about our Disaster Response network, and is available in Spanish.
Now more than ever, the successful partnership between DUS Lenders and Fannie Mae can help borrowers and renters. We are open for business, and we are helping keep the rental housing market operating remotely, in this new reality, by temporarily modifying Guide requirements for property inspections, and amending the loan document delivery process. We are also working on creating ways for appraisers to do their job without having to physically go inside the property.
To stay up to date on new guidelines, documents and forms, access our Lender Communications. And if you have any questions regarding how to proceed during this time, don’t hesitate to reach out to your Deal Team.
Read Fannie Mae’s response to COVID-19.
Learn about your state’s response to COVID-19.
Find out if you are eligible for the loan program to help small businesses affected by COVID-19.
The FHFA site can help keep you updated on COVID-19 related changes across the mortgage industry.
The Department of Housing and Urban Development’s response to COVID-19.
Learn more about self-reporting COVID-19 forbearance in Loan Quality Connect.
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