The coronavirus outbreak has caused a lot of wreckage. May it be to the health sector or the tourism sector. Travel is banned, people are under lockdown, and offices are closed. The economy has taken a beating, and all the industries are suffering under the threat of coronavirus. In such a case, the mortgage industry is also declining. It has come to a standstill.
Many mortgage brokers shared that the mortgage rates were low in the last month. But they rose due to the need for refinancing. Most of the people want to refinance and get the best mortgage rates through a mortgage broker. And many are suffering from the inability to pay the mortgage because of the cuts in pay.
Donald Trump announced that all evictions and foreclosures are suspended till the end of April for the government-backed home loans. People are unable to go to work. That means they won’t have a stable income and can’t pay the mortgage money for a couple of months.
That’s why the US president decided to suspend or postpone the evictions and foreclosures until the end of April. Hopefully, the conditions would have improved till next month, and things would have gone back to normal.
With the pandemic going on, it is hard to get out of home and see another house to buy. That’s why the real estate industry is in a standstill. It may take a few weeks to get back to normal. After the pandemic passes, things will bounce back.