Disaster Mortgage Forbearance XP

[waverly]

Has she checked with her owner of a rental property insurance? I believe those policies cover for the loss of rental income for maybe around 12 months which would mean that forbearance doesn’t have to be gone into immediately.

I don’t know the answer to your loan questions.

[underwaterrhymes]

Sept 29, 2024 11:01:27 GMT -5 waverly said:

Has she checked with her owner of a rental property insurance? I believe those policies cover for the loss of rental income for maybe around 12 months which would mean that forbearance doesn’t have to be gone into immediately.

I don’t know the answer to your loan questions.

Thank you! I’ll pass this info along to her.

[leahcar]

It varies on how the repayment works. Interest continues to accrue. For escrows- the most common thing I’ve seen is tacking the back portion onto your remaining payments for a short term. (If you should have paid $100/months in escrow and are in forbearance for 6 months - you would pay an extra $100 for 6 months once payments resume). But that’s NOT uniform and lenders are less friendly with investment properties.

Insurance is a good first plan. Like a PP mentioned, I would start there.

I think there will be a lot of help and grace because this is such a widespread issue.

[underwaterrhymes]

leahcar - thank you so much.

[mcppalmbeach]

Yes, please check insurance. When we had a rental, we had coverage for loss of income as well. I can’t remember how many months.