The coronavirus outbreak shouldn't cost you your house. That's the message federal regulators are sending mortgage companies, urging them cut or suspend payments for 12 months for homeowners who've lost income.
This is not a forgiveness of debt or free money. Homeowners will work out a repayment plan once they recover financially. Calabria says that might involve just extending the term of the loan, but it may vary by lender and each particular case.
"I think this is a great first step," says Chris Mayer, a real estate economist at Columbia University's business school. He says the move is"critically important at this point so we just don't have mass panic."
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