Posts from October 15th, 2020
15
What's The Difference Between Mortgage Forbearance and Mortgage Deferment?
The COVID-19 pandemic is putting a lot of Americans under serious financial strain—and in an effort to relieve some of that strain, homeowners across the country are looking for mortgage relief. And for those homeowners, there are a few different options available—namely mortgage forbearance and mortgage deferment.
But what, exactly, is the difference?
A recent article from realtor.com outlined the key differences between mortgage forbearance and mortgage deferment. According to the article, while both strategies allow homeowners to suspend mortgage payments for a period of time, the main difference is what happens at the end of that suspension period.
With mortgage forbearance, any payments that were missed are due in a lump sum at the end of the forbeara...