HUD Suspending Foreclosures and Evictions
On Wednesday, President Trump announced his administration will be suspending all FHA supported home-loan foreclosures and evictions until the end of April due to the coronavirus outbreak.
“The Department of Housing and Urban Development is providing immediate relief to renters and homeowners by suspending all foreclosures and evictions until the end of April,” Trump said. “So, we’re working very closely with Dr. Ben Carson and everybody from HUD.”
Homeowners with loans backed by Fannie Mae and Freddie Mac (which make up about 1/2 of the countries mortgages) will be granted foreclosure relief.
“Today’s actions will allow households who have an FHA-insured mortgage to meet the challenges of COVID-19 without fear of losing their homes, and help steady market concerns,” Secretary Ben Carson said in the statement, adding the move “will provide homeowners with some peace of mind during these trying times.”
Additional efforts to boost the economy have been made, such as the GOP senators working towards a stimulus plan. The stimulus package, which could possibly be $1 trillion, should be larger than the 2008 bank bailout (totaling $787 billion).
It is still unsure to what degree the coronavirus will impact the housing economy, but in the meantime, you can prepare yourself and your investments, by diversifying your portfolio to industries that can withstand economic downturns.