HUD: FHA INFO #20-88: Extension of Temporary Guidance on the Endorsement of Mortgages Under Forbearance

HUD: FHA INFO #20-88: Extension of Temporary Guidance on the Endorsement of Mortgages Under Forbearance

Investor Update
November 27, 2020

Source: HUD (Corrected Version)

Today, the Federal Housing Administration (FHA) published  Mortgagee Letter (ML) 2020-39, Extension of Temporary Guidance for Endorsement of Mortgages under Forbearance for Borrowers Affected by the Presidentially-Declared COVID-19 National Emergency consistent with the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

This ML further extends the period for mortgage forbearance provisions provided under the CARES Act, as announced in ML 2020-16 on June 4, 2020. More specifically, ML 2020-39 allows mortgages to be endorsed for insurance when the borrower, after closing, has requested a forbearance due to the COVID-19 National Emergency.

Mortgagees may use the guidance in this ML immediately for pending endorsements through December 31, 2020.

Quick Links:

• View Mortgagee Letters 2020-39, 2020-16, and all other archived Mortgagee Letters at:
https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee