Are you living in St. Louis and trying to determine if mortgage forbearance could be right for you and your family? You are not alone.
In this video, I will tell you all you need to know about mortgage forbearance in St. Louis. Is living in St. Louis right for you?? Find all you need to know about living in St. Louis right here on my page!
Are you living in St. Louis and trying to determine if mortgage forbearance could be right for you and your family?? You are not alone. Due to the impact of Coronavirus, many people are considering mortgage forbearance.
What is Mortgage Forbearance?
You may have been hearing a lot of talk about this thing called forbearance. The problem is most people don’t know what it really means and therefore there is this false connotation of what it can do. Especially during the times of the Coronavirus, this word has come up a lot. Over the last month, COVID has cost many people their jobs and therefore their abilities to take care of their families, and many of those people have a mortgage.
That’s where forbearance comes into the conversation. A part of the CARE act has recently created a forbearance program that allows borrowers to delay payments, but it’s not forgiveness. If you don’t take anything else away from this, let it be that. It is a delay, not forgiveness.
Who Should Use Mortgage Forbearance?
So, the real question is then, who should use forbearance? Only people who truly need it, honestly the government messed up when they said anyone could get by with the passage of the Care Act. There are many unintended consequences, the worst of which is loan programs going on away and driving up borrowing costs for everyone for many years. This can cost you way more money than you ever owed in the first place! In fact, forbearance is very expensive. Not only are you pushing payments out, you are missing out on the principal and therefore you are losing money by not making payments.
Call the SeanZ Team
The Sean Zalmanoff Mortgage Team specializes in making the home purchase or refinance process a great experience.