Borrowers Of Colors Suffers From Lack Of Forbearance Protection

Millions of homeowners may not have to pay their mortgages without any risks while on forbearance. It is indeed a relief but is it true for all borrowers? 

American homeowners have taken advantage of the federal government’s intervention – the CARES Act. The Coronavirus Aid, Relief, and Economic Security (CARES) Act grants up to 12 months of forbearance to homeowners with federally backed mortgages.

Sadly, the CARES Act does not cover borrowers with non-agency mortgages. Some borrowers have entered privately agreed-upon forbearance plans. While for those that weren’t, they face a higher likelihood of losing their home.

Urban Institute explores the challenges of “unprotected homeowners