Ban On Foreclosures Extended Until 2021, Protecting More than Eight Million People
Ban On Foreclosures Extended Until 2021, Protecting More than Eight Million People Oct 7, 2020 In late August, the Department of Housing and Urban Development (HUD) extended the ban on evictions and foreclosures until 2021, protecting more than eight million homeowners with single-family mortgages. The agency had previously only extended loan forgiveness on single family home mortgages that were insured and backed by the Federal Housing Administration through the end of August. Below, we discuss which mortgages are not covered by this development, the most recent executive order on the issue, and what other protections might be available to those facing eviction or foreclosure at this time and in the future. What Is Not Included Note that this extension does not include residential mortgages backed by Freddie Mac and Fannie Mae; government-run companies that guarantee approximately 50 percent of the entire US residential mortgage market, both of which last extended moratoriums on evictions and foreclosures on single-family homes through August 31. August Executive Order Could Mean Fannie Mae & Freddie Mac Properties Will Follow Suit However, the Trump administration did sign an executive order on providing assistance to renters and homeowners in August, declaring that it will take “all lawful measures to prevent residential evictions and foreclosures resulting from financial hardships caused by COVID-19,” indicating that the pressure is now on these entities to follow suit and also extend their moratoriums through the end of 2020. Given that the companies are government-run, the chances are high that they will also end up extending their moratoriums. Note that the executive order also directed HUD and the Treasury to identify potential sources of funding to aid struggling tenants. Protections Already Provided by The Protecting Tenants in Foreclosure Act Many renters and homeowners do not realize that they are also already protected by the Protecting Tenants in Foreclosure Act (PTFA), which covers foreclosures on a: federally-related mortgage loan; or dwelling or residential real property after June 23, 2018 Tenants are protected if they are under a “bona fide lease” or tenancy, where the mortgagor is not the tenant and the lease was the product of “an arm’s length-transaction” that requires rent which is not substantially less than fair market value or reduced due to a subsidy. The PTFA requires that: tenants be provided with 90-day notice to vacate in all instances; and tenants with bona fide agreements entered into prior to the date of notice of foreclosure must be allowed to remain until the end of their lease, which only reverts to 90-day notice to vacate if the owner plans to occupy the property as their primary residence or local laws allow for agreements to be terminated at will. If You Are facing Foreclosure in Florida, Contact Lawyers Who Protect Homeowners and Tenants Against Eviction and Foreclosure If you have any questions or concerns about eviction or foreclosures in Florida, including what laws might be available to protect you against a foreclosure proceeding, contact the Tampa foreclosure attorneys at HD Law Partners right away. It is important to know that not only do banks often engage in unlawful practices that result in constructive evictions, but the laws on these issues are changing every week, with negotiations continuing over measures that can be put in place to protect homeowners. Resource: fdic.gov/regulations/compliance/manual/5/v-16.1.pdf whitehouse.gov/presidential-actions/executive-order-fighting-spread-covid-19-providing-assistance-renters-homeowners/ politico.com/news/2020/08/18/hud-foreclosure-evictions-ban-397960 Developments in Business Interruption Insurance Litigation Claims Brought Throughout Florida & Country Posted in Foreclosure Defense | No Comments » Connect with us Archives May 2026 April 2026 March 2026 February 2026 January 2026 December 2025 November 2025 October 2025 September 2025 July 2025 June 2025 January 2025 January 2024 December 2023 November 2023 October 2023 September 2023 August 2023 July 2023 June 2023 May 2023 April 2023 March 2023 February 2023 January 2023 December 2022 November 2022 October 2022 September 2022 August 2022 July 2022 May 2022 April 2022 March 2022 November 2021 October 2021 September 2021 August 2021 July 2021 May 2021 April 2021 March 2021 February 2021 January 2021 December 2020 November 2020 October 2020 August 2020 July 2020 June 2020 May 2020 April 2020 March 2020 February 2020 January 2020 December 2019 November 2019 October 2019 September 2019 August 2019 July 2019 June 2019 May 2019 April 2019 March 2019 February 2019 January 2019 December 2018 November 2018 October 2018 September 2018 August 2018 July 2018 June 2018 May 2018 April 2018 March 2018 February 2018 January 2018 December 2017 November 2017 October 2017 September 2017 August 2017 July 2017 June 2017 May 2017 April 2017 March 2017 February 2017 January 2017 December 2016 November 2016 October 2016 November 13 Categories Alimony Appellate Arbitration Auto Accidents Auto Insurance Business Corporate Business Insurance Law Child Custody Child Support Criminal Law Divorce Family Law FEMA Insurance Payments Florida’s Mandatory 2‑Hour Legal Professionalism CLE: Foreclosure Defense Fort Myers Hurricane Insurance Attorney General Guardianship HD Law Partners Service HOA/Property Management Homeowners Association Homeowners Insurance Hurricane Claims Hurricane Insurance Insurance Bad Faith Insurance Claims Insurance Defense Insurance Litigation Landlord Tenant Law Enforcement Liability Loan Modifications Mold Water Damage Parental Rights Paternity Personal Injury Premises Liability Law Prenuptial Agreements Private Security Property Distribution Property Owner Law Sarasota Insurance Litigation Attorney Slip Fall Tampa Business and Corporate Attorneys tampa family attorney Tampa Insurance Attorneys Timeshare Timesharing Uncategorized HD Law Partners is proud to be your trusted full-service law firm Quick Links Property & Casualty Business & Corporate Litigation Family Law Contact Us Careers Get In Touch 2002 North Lois Avenue Suite 510 Tampa, FL 33607 813-253-5333 Contact Us