Fannie Mae (OTCQB: FNMA) is reminding homeowners and renters impacted by the recent tornadoes in communities across Kentucky, Missouri, Illinois, Tennessee, Arkansas, and Mississippi of available mortgage assistance and disaster relief options. Under Fannie Mae’s guidelines for single-family mortgages impacted by a natural disaster:
- Homeowners may request mortgage assistance by contacting their mortgage servicer (the company listed on their mortgage statement) following a disaster.
- Mortgage servicers are authorized to offer forbearance for up to 90 days – even without establishing contact with the homeowner – if the servicer believes the home was affected by the disaster.
- Homeowners affected by a disaster are often eligible to reduce or suspend their mortgage payments for up to 12 months. During this temporary payment break, homeowners will not incur late fees and foreclosure and other legal proceedings are suspended.
- Following the payment break, there are a number of options available to potentially help homeowners catch up on missed payments, including Disaster Payment Deferral.
In addition, homeowners currently on a COVID-19-related forbearance plan who were subsequently impacted by the tornado may still be eligible for assistance and should contact their mortgage servicer to discuss options.
Fannie Mae also offers help navigating the broader financial effects of a disaster to homeowners and renters through its Disaster Response Network, including:
- A needs assessment and personalized recovery plan.
- Help requesting financial relief from the Federal Emergency Management Agency (FEMA), insurance, and other sources.
- Web resources and ongoing guidance for up to 18 months from experienced disaster relief advisors.
“The health and safety of those impacted by the recent tornadoes is paramount,” said Cyndi Danko, Chief Credit Officer, Single-Family, Fannie Mae. “Fannie Mae is committed to ensuring assistance is available to homeowners and renters in need and we encourage residents to seek housing assistance as soon as possible. Homeowners should contact their mortgage servicers to discuss forbearance options, and both homeowners and renters can learn more about disaster relief resources and receive personalized support by contacting Fannie Mae’s free Disaster Response Network.”
Homeowners and renters can call 877-542-9723 to access Fannie Mae’s Disaster Response Network free of charge or visit KnowYourOptions.com for more information.