My recent discussion with Frank Salazar of Gem Mortgage covered many bases, from mortgage relief, to the loan application process, to the pandemic’s wider impact on the market.

 

Recently, I was fortunate enough to sit down with Frank Salazar, co-owner and partner in Gem Mortgage, to discuss mortgage relief in the wake of the pandemic. Together, we explored the implications of the CARES Act, and he offered advice as to what may be in a homeowner’s best interest right now (depending, of course, on their specific circumstances). Homeowners should ask their loan servicer two important questions: “What is my repayment plan?” and “Will my credit score be negatively affected?” 

 

Cited below for your convenience are timestamps that will direct you to various points in the video. Feel free to watch it in its entirety or use these timestamps to browse specific points at your leisure: 

 

2:24 - Does one have to make their mortgage payment? Explaining the CARES Act

 

5:00 - Are all servicers mandated to handle forbearances in the same way? For example, what happens when a forbearance period of 180 days ends?

 

6:55 - What determines whether a loan is federally backed or not? 

 

9:10 - Definition of a forbearance, and how servicers are restructuring the payments from which you’re temporarily excused

 

10:50 - What you should get in writing from your servicer 

 

12:53 - If hundreds of thousands of people are missing their mortgage payments, what effect will that have on the market?

 

14:28 - Why servicers are tightening up requirements 

 

16:09 - Fed funds rate vs. mortgage interest rates 

 

17:47 - We’re still seeing historically low interest rates 

 

19:50 - Does the CARES Act apply to investors? 

 

23:49 - How the coronavirus is impacting renters and landlords

 

26:45 - Why the ‘honor system’ is of the utmost importance right now 

 

29:29 - How real estate agents are helping clients with technology 

 

33:30 - What timelines should borrowers be expecting these days regarding financing?

 

35:55 - How loan officers are triple-checking applications 

 

38:22 - Are there delays with appraisers?

 

40:10 - Handling fears of falling out of escrow 

 

45:30 - Wrapping things up/final thoughts

 

If you have any questions about mortgage relief or real estate in general, please call or email us. We would love to help you.