Plunging Mortgage Delinquency Rate Shows Forbearance Is Doing Its Job

Plunging Mortgage Delinquency Rate Shows Forbearance Is Doing Its Job
·3 min read

Under the CARES Act, the sweeping relief bill signed into law in March 2020, homeowners who could claim financial hardship and requested forbearance couldn't be denied. Under forbearance, monthly mortgage payments could be paused without being recorded as delinquent. Because so many homeowners took advantage of forbearance, the delinquency rate for mortgages on residential properties with one to four units decreased to 6.38% of all outstanding loans at the end of 2021's first quarter, according to the Mortgage Bankers Association's National Delinquency Survey.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting