HOMEOWNING HAPPINESS

Mortgage and rent payment relief: What you need to know

Whether you’re renting or own a home, if you’re struggling to make payments, here’s what you need to know about relief options.

Between furloughs, workplace closures, and job losses, many people have found it difficult to keep up with mortgage and rent payments since the COVID-19 pandemic began. In fact, more than 6million households failed to make their rent or mortgage payments in September of 2020.1

 

To help, many banks and landlords have offered mortgage forbearance or rent delays. This offered some relief by allowing tenants to pause payments for a few months. 

 

As these arrangements come to an end, you will need to determine if you are able to resume your usual payments—and determine your options for how to repay the amount you missed, too. If you’re in this situation, and you’re thinking about how you’re going to move forward, remember that you’re not aloneand there’s still a lot of help available.

 

If your mortgage loan is with BB&T or SunTrust, see the Truist Mortgage Relief Guide for more information on forbearance, payment deferral, or loan modification. You can also schedule an appointment with our Home Preservation team to discuss your situation.

 

Here are some key things to know and do, based on your living situation.

For renters

  • Know your rights. The federal government (and some states) have enacted eviction moratoriums. For a more detailed explanation of the federal eviction bans, visit the Consumer Financial Protection Bureau. And for the best information about the status of evictions where you live, check your state's judicial system or governor's website. You can also contact a legal aid organization in your area
  • Speak with your landlord. You may find that they can help—but only if they know your situation.
  • Discuss alternative ways to pay. For example, could you set up a payment plan? Or could you draw from your security deposit, or last month’s rent?
  • Apply for rental assistance. The National Low Income Housing Coalition has a list of COVID-19 rental assistance programs by state.
  • Above all, never miss a payment without talking to your landlord first. Missed payments could cause your credit score to decrease and potentially result in an eviction. If you speak up beforehand, they may be able to help you find a solution.

For homeowners

  • First, speak to your bank. Most will have specialist teams that are ready to work with you to find a solution for whatever difficulties you’re facing. You can connect with SunTrust or BB&T teammates here.
  • You may be eligible for loan forbearance, payment deferral, or another payment relief option. Forbearance programs may vary depending on your mortgage servicer, who owns your loan, and whether your need is related to the COVID-19 pandemic.
  • Can your bank extend your forbearance period? At Truist, you may be eligiblefor a total forbearance period of up to a year. The latest information can be found through our Mortgage Relief Guide.
  • If you need longer-term help, see if you can modify your loan. Restructuring is designed to help you hold onto your house in difficult financial times, for example, by finding alternate ways to pay.
  • Could you lower your payments through refinancing? Interest rates have been near historic lows, so you may be able to get a better rate on your mortgage and reduce the amount you pay each month. To help with refinancing during the delays caused by COVID-19, Truist has extended our rate lock period on refinancing loans to 90 days.
  • Above all, don’t miss a payment without speaking to your bank first. It’s in everyone’s interests to help you find a solution without damaging your credit or losing your home.

For veterans and small-business owners

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1 “Over 6 Million Renters and Homeowners and 26 Million Student Debt Borrowers Missed September Payments,” Mortgage Bankers Association, October 16, 2020.

 

This content does not constitute legal, tax, accounting, financial,or investment advice. You are encouraged to consult with competent legal, tax, accounting, financial,or investment professionals based on your specific circumstances. We do not make any warranties as to accuracy or completeness of this information, do not endorse any third-party companies, products, or services described here, and take no liability for your use of this information.

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