While the CARES Act imposes an eviction moratorium on landlords of “covered properties” the Act is not without relief to landlords. Landlords/borrowers with “federally backed mortgage loans” or “federally backed multi-family mortgage loans” are entitled to monthly mortgage payment forbearance for up to 90 days.
Section 4022 (1-4 family mortgage loans) and Section 4023 (5+ family mortgage loans) of the CARES Act provide some relief to multi-family borrowers. To qualify, a borrower/landlord must fall into any of the below categories:
- Borrowers with “Federally Backed Mortgage Loan” meaning, a 1-4 family property with mortgage bought by Fannie/Freddie (above) or involving FHA, VA or other related federal agency. This is the overwhelming majority of 1-4 family mortgage loans. Or;