What are my forbearance options?

Fannie Mae & Freddie Mac loans

Homeowners with mortgages owned or guaranteed by Fannie Mae or Freddie Mac may be eligible for different repayment options following your forbearance.

You are not required to repay missed payments all at once.

  • If you are unable to repay your missed payments all at once and can afford to pay a higher monthly mortgage payment for a period of time, you may be eligible for a repayment plan which allows you to repay past due amounts over a period of time.
  • If you can afford to resume your regular monthly mortgage payment you may be eligible for a payment deferral  which puts your missed mortgage payments into a payment due at the sale or refinancing of your home, or at the end of the loan.
  • If you have a sustained reduction in income and are unable to afford your regular monthly mortgage payment, you may be eligible for a loan modification which changes the terms of your loan to enable an affordable payment.

Intercap Lending will reach out to you about 30 days before your forbearance plan is scheduled to end to determine which assistance program is best for you at that time. Work with your servicer to determine which option you are eligible for.

FHA/HUD loans

FHA does not require lump sum repayment at the end of the forbearance. Homeowners on special COVID-19 Forbearance will be assessed by their servicer first for eligibility for the COVID-19 home retention option no later than at the end of the forbearance period.

The COVID-19 home retention option, called the COVID-19 Standalone Partial Claim, places amounts you owe into a junior lien that is repaid when you refinance your mortgage or sell your home or your mortgage otherwise terminates. If you do not qualify for the COVID-19 Standalone Partial Claim, FHA offers other tools to help you repay the missed payments over time.

For more information on Federal Housing Administration Mortgages: [email protected], call 1-800-CALL-FHA (1-800-225-5342), or visit www.hud.gov .

VA loans

Servicers of VA loans cannot require borrowers to make a lump sum payment immediately after a borrower exits a CARES Act forbearance.

VA has a suite of loss mitigation options such as repayment plans and loan modification to assist borrowers in repaying payments missed under a CARES Act forbearance. In addition, VA is continuing to evaluate other options to further assist borrowers affected by the novel coronavirus (COVID-19) national emergency.

For additional information, please visit VA’s website  where you can find a list of frequently asked CARES Act questions . In addition, you may call (877) 827-3702 to contact a VA Regional Loan Center.