Why the 2021 Forecast Doesn’t Call for a Foreclosure Crisis
Written by KCM Crew posted by Chris Cox


As the current forbearance mortgage relief options come to an end, many are wondering if we’ll face a foreclosure crisis next year. This is understandable, especially for those who remember the housing crisis that began in 2008. The reality is, plans have been put in place through forbearance to ensure history doesn’t repeat itself.

This year, homeowners are able to request 180 days of mortgage relief through forbearance. Upon expiration of that timeframe, they’re also entitled to request 180 additional days, bringing the total to 360 days of deferred payment eligibility. As forbearance expires, homeowners should stay in touch with their lender, because creating a plan for the deferred payments is a critical next step to avoiding foreclosure. There are multiple options for homeowners to pursue at this point, and with the right planning ...

The US Department of Housing & Urban Development(HUD) has long recognized that sweeping changes were needed to improve stagnant condo sales, and last week they finally announced their reform.


There are over 150,000 condominium projects in the US.  However, only roughly 6.5% of these projects have met the standards to be "FHA Approved" projects.  This has meant financing challenges for decades on some of the most affordable housing for first time home buyers.   As a result of this condominium sales have remained relatively stagnant despite an overall strong housing market.

These changes go into effect starting October 15, 2019, here are a few of the highlights.  The full rules can be found on the HUD website

 


A new single unit approval process for units in non-approved projects.  Sometimes referred to as "spot approvals".



FHA approvals now good for 3 years for approved projects.  This is up from the previous 2.

. ...

 

The Real Estate Market is on fire.  Buyers and Sellers are both finding common ground and getting unbelievable deals right now.

Check out Hammock Watch Development in Hampstead...Only 15 minutes from downtown Wilmington