Feb 16, 2021 - Politics & Policy

Biden extends mortgage relief, moratorium on foreclosures

Biden.
President Biden prepares to sign a series of executive orders at the Resolute Desk in the Oval Office just hours after his inauguration on Jan. 20, 2021. Photo: Chip Somodevilla/Getty Images

The Biden administration Tuesday announced it's extending the moratorium on home foreclosures and the enrollment window for mortgage forbearance through June.

Why it matters: Many Americans have struggled to make home payments during the COVID-19 pandemic. Both programs were set to expire in March. The actions are an extension of a program the Trump administration started in 2020.

  • The departments of Housing and Urban Development, Veterans Affairs, and Agriculture will carry out the executive action, per the White House.
  • The new relief will provide up to six months of additional mortgage payment forbearance, in three-month increments, for borrowers who entered the program on or before June 30, 2020.

What they're saying: "Now, homeowners will receive urgently needed relief as we face this unprecedented national emergency," the White House wrote in a news release.

  • "Today’s action builds on steps the President took on Day One to extend foreclosure moratoriums for federally guaranteed mortgages."
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