This post was created as a paid partnership with Fannie Mae.
If you are struggling to keep up with mortgage or rent payments, you are not alone. Millions of Americans have been financially impacted by the COVID-19 crisis. Although it is a trying time, Fannie Mae is Here to Help with mortgage and rent relief information. In this article, we will take a closer look at your options as you navigate this financial storm for your household.
What to do step by step if you can't pay your mortgage or rent
If you are unable to pay your mortgage or rent due to the economic impact of the pandemic, it is understandable to feel overwhelmed. But the good news is that you can take action and find resources to keep your household afloat.
Here’s what you should do if you can’t pay your mortgage or rent.
Check who owns your mortgage loan
You may or may not know if Fannie Mae owns your mortgage loan. Luckily, there is a handy mortgage search tool to help you find out. You’ll simply need to enter your name, address, and last four digits of your Social Security Number to determine who owns your mortgage loan through this tool.
You’ll have your answer within minutes.
Tap into the Disaster Response Network
If you are a homeowner with a mortgage loan owned by Fannie Mae or a tenant in a multifamily rental property financed by Fannie Mae, then you have access to the Disaster Response Network.
Through the Disaster Response Network, you’ll find HUD-approved housing counselors to help you navigate your financial challenges. These coaches can help you create a plan and financial coaching to help you through the current crisis and into the future.
Plus, there are mortgage payment assistance options available through the Disaster Response Network.
Homeowners should consider forbearance
If you don’t think you’ll be able to make your mortgage payment, call your mortgage servicer. You can explain the situation and ask for a helping hand. In some cases, your mortgage servicer could provide a temporary solution such as forbearance.
If you decide to pursue forbearance, note that it doesn’t erase your debts. Instead, it provides some breathing room to help you get back on your feet by allowing you to reduce or suspend mortgage payments temporarily.
Renters should consider opening communication with their landlord
Not a homeowner? There are still relief options available for renters.
The most expedient solution is to communicate openly with your landlord about any financial hardships. Respectfully ask for help with rent. A landlord may be willing to accommodate you through a temporary rent reduction or another payment arrangement.
If you reach out to your landlord, keep notes of the conversation. Through an open line of communication, you may be able to come to an agreement that works for everyone.
Find the helping hand you need
As you continue to navigate this financial reach for help when you need it. Don’t be afraid to ask for help if you truly need it.
Family and friends may be able to provide a boost to your financial situation in a variety of ways. Although they may not be able to provide a loan, they could help you put food on the table or provide childcare while you search for your next job opportunity.
Beyond your network, there are many organizations offering help to those affected by COVID-19. Look for support where you can, like through the American Rescue Plan Act, which helps provide funds for eligible renters and landlords to cover housing-related expenses.
Renters should still visit Fannie Mae’s website for the most accurate and up to date information.
Build a budget for the long-term
As you move forward, it is important to build a build for the long-term. In order to start building a budget for the future, you’ll need to consider your wants vs. needs carefully. Although the line can easily blur between your wants and needs, a clear understanding can help you stay on track towards your financial goals.
Consider the lessons we have all learned in the past year. Many of us have cut out expenses from our budgets as an uncertain global economy swirls around us. We can continue to spend less as we move into the future.
Fannie Mae is Here to Help
If you are struggling to keep up with your mortgage or rent payments, Fannie Mae is offering resources for both situations. With their help, you can take action to explore options if you are having trouble paying your monthly mortgage or rent due to the pandemic.
Take advantage of the free resources offered to help you get back on track. One of the best resources is access to a HUD-approved housing counselor. They’ll be able to provide advice for your unique situation and help you create a financial game plan.
The bottom line
Fannie Mae is ready to help homeowners and renters through this difficult financial period. As you tackle your financial woes at home, don’t be afraid to ask for help if you need it. You might be surprised to find someone ready to lend a helping hand.