More than 1 million homeowners are at least 30 days behind on their mortgage payments despite aid from the CARES Act, a sign that the law meant to ease financial stress and ward off foreclosures has let many fall through the cracks, data from real estate analytics company Black Knight shows.
Misconceptions and a lack of awareness have led to the pitfall, say housing counselors, leading some in both the House and Senate to call for automatically enrolling borrowers who are 60 days behind on their mortgages into forbearance, or a temporary reduction or pause in payments. A disproportionate share of minorities were failing to take advantage of forbearance, according to Census data.
On HoustonChronicle.com: Renters, mortgage holders often unaware of federal aid packages
“An automatic forbearance would allow homeowners who do not reach out to their servicers a needed pause so they can have the opportunity to limit their