The Governor’s office announced that over 160 lending institutions have committed to provide a streamlined process for at least one additional forbearance period of up to 90 days for qualified borrowers. This is in addition to the 12-month commitment required by AB 238 (Ch. 25-128) enacted last year.
According to the Governor’s office, this latest commitment of an additional 90 days forbearance is subject to approval by investors such as Fannie Mae and Freddie Mac and is consistent with the terms of the Governor’s January 2025 agreement with banks. This includes offering payment options that do not include lump-sum (balloon) payments, waiving any mortgage-related late fees that accrue during the forbearance period, and not reporting late payments on forbearance amounts to credit reporting agencies.
Additional information is available at: www.gov.ca.gov/2026/02/06/governor-newsom-announces-funding-for-la-fire-survivors-to-access-pre-built-housing-to-further-speed-recovery-and-maintain-neighborhood-character/
