Joe Biden has extended the foreclosure moratorium, saving more than 10 million homeowners.
The move was in response to struggling homeowners affected by the COVID-19 pandemic. Insider reports that the moratorium on foreclosures was put in place last March when Donald Trump was still taking up the White House; it was set to expire in March. It now expires on June 30.
According to Insider, the White House sent out a statement saying the departments of Housing and Urban Development, Urban Affairs, and Agriculture are extending the ban another three months to help out more than 10 million homeowners who could not pay their mortgage during the pandemic. “President Biden is committed to protecting homeownership and housing stability as America begins to turn a painful crisis into a robust recovery,” the statement said. “Today’s extended forbearance and foreclosure programs are an important step towards building stronger and more equitable communities.”
On top of that, Biden will be extending the mortgage payment forbearance enrollment window until June 30. He will also give up to six months of additional mortgage payment forbearance for borrowers who went into forbearance on or before June 30. As for those who rent, Biden also extended the moratorium on evictions through March.
The outlet reports that Biden also includes more relief for homeowners and renters in his $2 trillion stimulus plan, including the Homeowners Assistance Fund. The fund will provide states with $10 billion to help homeowners who are financially hurting due to the pandemic. Biden has urged Congress to pass the law so that Americans can receive more help, Insider reports. “This relief is critical for homeowners with mortgages in the private market who are not able to take advantage of today’s actions and may face longer-term challenges.”