On Wednesday, in an effort to combat negative consequences of the Safer at Home orders, Governor Newsom reached an agreement with 4 major banks (Wells Fargo, JPMorgan Chase, Citibank, and US Bank [Bank of America is the only major bank missing]) and 200 state-chartered credit unions and banks to temporarily suspend mortgage payments and foreclosures in California for up to 90 days (Bank of America has only agreed to 30 days); this relief is only available to people in California who have been directly impacted by the virus and its side-effects. California has now joined with Oregon, Washington, New York, Indiana, and Maryland in combatting the existential threat this virus could have provided to homeowners without enough savings to make multiple mortgage payments. Penalties for late payments will also be temporarily deferred. Automatic mortgage payments will still be deducted, so if you would like to postpone your payment be sure to contact your mortgage company and place your payments on hold.
While it is unclear whether Governor Newsom will temporarily suspend rent payments and unlawful detainer actions (eviction), a group of 38 lawmakers have penned a letter to Mr. Newsom urging that he do just that (a complete caveat, but temporarily suspending rent payments would make the “stimulus” package people will be receiving make more sense – if rent isn’t suspended, then this “stimulus” is really just giving people money to give to their landlords).
Given the fact that the vast majority of people work in “non-essential” positions, and given the fact that the majority of those workers aren’t currently pulling in a full paycheck, it’s only natural that many Californians are feeling the squeeze; do they place their health and safety at risk in order to keep a roof over their heads? Governor Newsom has temporarily relieved some of that pressure. Mr. Newsom has made clear that more needs to be done, and he seems like the kind of leader who can get things done.
At the Chernov Team we understand knowledge is power, but peace-of-mind is equally powerful; you will not be losing your home over this. At the Chernov Team we know whoever comes to the table most prepared leaves with the most, and the Chernov Team always leaves the table with the most.
