The federal housing finance agency, which regulates Fannie Mae and Freddie Mac, has expanded its COVID-19 mortgage waiver program for apartment building owners.
The program was supposed to end on June 30, but now expires on September 30.
FHFA Director Mark Calabria said in a press release that the third expansion will help both families struggling to pay rent and apartment owners who are trying to keep their property.
Eligible property owners in Nevada must enter a new or modified form of abstinence by September 30th if they are experiencing financial difficulties due to the pandemic. But that means they must agree to abide by several of the program’s tenant protections, including:
■ Informing tenants in writing of the remedies available to tenants during the deferral and repayment period by the owner of the property.
■ Notifying tenants of eviction at least 30 days in advance.
■ Do not charge tenants with late fees or penalties for non-payment of rent.
■ Providing flexible lease debt repayment plans
■ Agree not to evict tenants for non-payment of rent while the property is on hold, even if the abstinence period falls after the federal moratorium on evictions, which expires on June 30th.
The multi-unit COVID-19 phase-out program was implemented in March 2020 and allowed borrowers to defer mortgage payments by up to three months. According to the FHFA, additional relief is also available at the end of the initial period of abstinence from punishment.
The agency said in a statement that it may later decide to extend the abstinence period.
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