A new report by independent researcher Kanav Bhagat proposes meaningful changes to post forbearance mortgage modification options for homeowners whose government-backed mortgages were impacted by the economic fallout from the COVID-19 pandemic.  Specifically, the report finds that government mortgage modification programs should target a 25% mortgage payment reduction in order to stem a steep rise in foreclosures due to the pandemic. CFA provided research assistance for the paper and, along with others, provided editorial support and feedback. The executive summary of the report, Avoiding COVID-19 Related Foreclosures by Implementing Cost-Effective Mortgage Modifications for Federally-backed Loans, as well as the full report, can be found below.

Executive Summary

Full Report