Were your monthly mortgage payments suspended temporarily because you were affected by a recent natural disaster? Are you wondering what happens when this "forbearance period" ends?
The short answer: It depends on your situation. That's why it's important to stay in touch with your servicer (the company you make your mortgage payment to) throughout the forbearance period and to discuss your available options before the period ends.
If Freddie Mac owns your loan, the possible outcomes depend on whether you're still affected by the disaster and your current financial situation.
If you're no longer facing a financial hardship related to the disaster, these are the possibilities:
If you're still facing financial hardship because of the disaster and unable to resume your monthly mortgage payments, you might be eligible for a forbearance extension (altogether, payments may be suspended for up to 12 months) or a modification that might permanently reduce your monthly payments. Your servicer will work with you to determine your eligibility and explore these options.