When people started losing their jobs due to COVID, lawmakers passed the COVID Hardship Forbearance Program which caused mortgage payments to those affected. 7.2 million homeowners too advantage of this program at its height but as the economy is slowly starting to get better and jobs are becoming more available, there are now about 1.5 million still protected.
For those that are not able to make the backed payments, it’s expected that hundreds of thousands of homes homes will be hitting the market. With the strong COVID market, homeowners will most likely list their homes for sale and before any foreclosure status is determined. A recent study determined that about 25% of the 1.5 million borrowers will list their home for sale instead of resuming mortgage payments.