Announcement 20-0052: FHA Guidance for Borrowers Coming Out of Forbearance

September 4, 2020

Overview

HUD currently has not issued any guidance regarding borrowers in forbearance who did not continue to make their payments as agreed; therefore, until further notice Carrington Mortgage Services, LLC (CMS) will not offer new FHA financing to borrowers who did not make their Forbearance payment for the actual month due.

In cases of borrowers coming out of forbearance who continued to make their payments as agreed, and who are not delinquent, there is no waiting period or eligibility restrictions for underwriting a new FHA loan.

As reminder, HUD considers a mortgage payment to be delinquent if not paid within the month due. Borrowers who are impacted by the current COVID-19 pandemic are entitled to request forbearance under the CARES Act to temporarily postpone or reduce the amount of their mortgage payments. Forbearance is not payment forgiveness and borrowers can, at any time they choose, shorten the forbearance and resume repayment of the loan.

Please note: HUD does not consider the COVID-19 pandemic as a Major Disaster; therefore, the normal forbearance guidance followed for Major Disasters is not applicable.

Contacts

Please contact CorrespondentRM@carringtonms.com with any questions. Carrington thanks you for your business.

Government Agency Approvals

FHA Non-Supervised Mortgagee Approval #:
24751-0000-5
VA Automatic Lender Approval #:
902324-00-00

Mortgagee/Loss Payee Clause

Carrington Mortgage Services LLC
ISAOA/ATIMA
P.O. Box 692408
San Antonio, TX 78269-2408

Industry Links

Loan Limits LookupMortgage Letters
This information is provided for your convenience and Carrington Mortgage Services, LLC makes no warranties concerning the accuracy or completeness of any of the information. This is not financial or legal advice and should not be taken as such. This information is for mortgage professionals only and is not intended for distribution to consumers.
CAREERSINVESTORSabout uswholesale
An Equal Housing Opportunity Lender. Copyright 2007 - 2022 . Carrington Mortgage Services, LLC headquartered at 1500 South Douglass Road, Suites 110 & 200-A, Anaheim, CA 92806. NMLS ID # 2600. Toll Free # 800-561-4567. All rights reserved. Restrictions may apply. All loans are subject to credit, underwriting and property approval guidelines. Nationwide Mortgage Licensing System (NMLS)

Consumer Access Web Site: www.nmlsconsumeraccess.com.

The content of this website is intended for licensed third-party originators or brokers only and may not be duplicated or disseminated to the public. Carrington Mortgage Services is one of the leading wholesale mortgage lenders.

Government Agency Approval | FHA Non-Supervised Mortgage Approval #: 24751-0000-5 | VA Automatic Lender Approval #: 902324-00-00

linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram