Options During Challenging Times. Furloughs & Forbearance
***UPDATE*** Underwriting guidelines are changing daily. A Forbearance is an option however it CAN Negatively impact a future refinance or new mortgage.
20 years as a Loan Officer here in Seattle, I have for sure seen the highs and the lows. 2007 was challenging because the disruption in the economy was caused by mortgage and real estate.
Today the Corona Virus is causing a different challenge that I am already having tough conversations with clients. Furloughs and Job Loss is what many are already facing. If this is impacting you, family, friends or co-workers I hope this is resourceful and assists to understand options during a uncertain time.
Forbearance on Mortgage Payments: https://www.knowyouroptions.com/options-to-stay-in-your-home/overview/forbearance (you can start by contacting the lender you are making your payments to)
401K Hardship Withdrawals: (you can find information from the financial institution that manages your 401K i.e. Fidelity or Morgan Stanley)https://money.usnews.com/money/retirement/401ks/articles/new-retirement-account-rules-in-response-to-coronavirus
401K Loans: https://bit.ly/3avwcUR
IRA Hardship Withdrawal: https://smartasset.com/retirement/ira-hardship-withdrawal
I hope that this information is helpful for anyone in need. In challenging times we all need to support each other and share helpful information. We will get through this and be stronger for it.
Sincerely, Keith Akada
“Everything will be alright” Shigeo Akada, what my father used to say to me everyday during the 2007 Great Recession.