Are you struggling to pay for your mortgage due to the ongoing pandemic and being out of work? If so, know that it is possible to ask for COVID mortgage relief due to the CARES act. Here are some things that you need to know before you apply for mortgage forbearance.

Relief Is Not Automatically Given

One thing to keep in mind is that the process of receiving mortgage forbearance is not something that happens automatically. Your mortgage lender is not going to reach out to you about it because they don't know what is currently happening in your life. You need to reach out to them and apply for mortgage forbearance if you want assistance.

Be aware that mortgage forbearance is only going to be available for those loans that have federal government backing. This means those that belong to Fannie Mae or Freddie Mac and those that are FHA, VA, or USDA loans. If you have a private loan through a private lender, you may not be able to get the relief you need unless you work out a deal directly with the lender.

Be aware that any relief you receive will not last forever. Mortgage forbearance initially be offered for up to 180 days, with the option to extend it for an extra 180 days for a maximum amount of time. This should hopefully give you enough time to get back on your feet.

Missed Payments Need To Be Paid Back

If you have missed a mortgage payment, know that you will eventually have to make that payment. The good news is that it doesn't have to be repaired all at once in a lump sum. You can work with your lender to determine a repayment plan, which could involve breaking up those missed payments into smaller payments that can be made over time. 

Proof Of Your Financial Problems Is Not Required

Part of the CARES act also means that you do not need to provide your lender with proof that you are going through a financial hardship. All you need to do is tell your lender that you are having financial problems and would like to apply for mortgage forbearance. Your lender will not be allowed to ask you for proof.

If you are ready to apply for mortgage relief thanks to the provisions in the CARES act, reach out to your lender as soon as possible to find out more information.