FHA Extends HECM COVID-19 Forbearance and Extensions

April 7, 2023

The Federal Housing Administration (FHA) published Mortgagee Letter (ML) 2023-08: Extension for COVID-19 Forbearance and COVID-19 Home Equity Conversion Mortgage (HECM) Extensions Through May 31, 2023, a copy of which is attached hereto. This ML establishes May 31, 2023 as the final date for borrowers requesting a COVID-19 forbearance or a COVID-19 Home Equity Conversion Mortgage (HECM) Extension. This ML also establishes that that no COVID-19 Forbearance period may extend beyond November 30, 2023.

This extension does not impact the recent changes made to HUD’s loss mitigation program that were announced in ML 2023-03: CORRECTED AND REPUBLISHED: Expansion of the COVID-19 Recovery Loss Mitigation Options.