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New FHFA multifamily property forbearance rules

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The Federal Housing and Finance Agency (FHFA) has announced that multifamily property owners with GSE loans in forbearance must inform tenants in writing about their rights. The most important of those rights: the landlord’s promise, during the forbearance period, not to evict any tenant solely for nonpayment of rent.

Additionally, once the forbearance period ends and the repayment period begins, tenants must receive at last a 30-day notice to vacate before they can be evicted. Likewise, the landlord may not charge these tenants late fees or penalties for nonpayment of rent during the relief period.

Landlords cannot require a lump-sum payment of past due rent. Apartment dwellers must be given the flexibility to repay back-rent over time. FHFA Director Mark Calabria stated, “If tenants are able to pay their rent, they should continue to do so.”

For more information, please visit the joint Department of Housing and Urban Development, FHFA, and CFPB website.


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