Dealing with a Foreclosure during the Pandemic

looking at finances

Due to the COVID-19 pandemic, the number of foreclosures is rising and is expected to rise by 70% in the next two years. If you have been struggling to pay your mortgage even before the pandemic or if you were already in the foreclosure process, the statistics might sound scary. But you don’t have to worry –– for now. The United States government has decided to sign the Federal CARES Act. This act was created to help American citizens during the pandemic. Part of the CARES Act includes the suspension of foreclosures from March to May 2020.

Even more good news, the suspension has been extended through December 31, 2020. If your mortgage is FHA, VA, USDA, Fannie, or Freddie mortgages, your servicer cannot start or continue the foreclosure process or evict you until December 31, 2020. But what do you do after the suspension is over?

Dealing with foreclosure can be difficult, and it is stressful for anyone. The best way to deal with foreclosure is to act as soon and as quickly as possible. Seeking legal counsel from a foreclosure attorney can be your best bet once the suspension is lifted. And if you’ve been struggling to pay your mortgage before the pandemic, it might be even more difficult after. An attorney can help you understand what the best next step is. Luckily the CARES Act was signed, and you now have enough time to find a way to earn and save money during the pandemic. How?

Get a stimulus check.

As part of the Federal CARES Act, there is a one-time stimulus check of $1,200 per individual and an extra $500 per dependent. This might not last long, and not everyone is qualified for a stimulus check, but it’s still a way to earn money during the pandemic.

Apply for unemployment benefits

If you are currently unemployed due to the pandemic, you can apply for unemployment benefits, and you should apply as soon as possible. In most states, the unemployment benefit is usually half your previous salary and is sent to you weekly for over 21 weeks. In some states, the unemployment benefits last for up to 28 weeks. You’ll have to check the rules for unemployment benefits in your state to be sure. The CARES Act also extends your unemployment benefits for an extra 13 weeks.

Try to actively look for a job.

job interview

Trying to look for a job during the pandemic can be difficult, but some companies are hiring at this time. Amazon, CVS, Home Depot, Target, Walgreen, and Walmart –– to name a few –– are hiring. You can also search online for any work from home positions. Even if you’ve applied for unemployment benefits, finding any job at this time is a great idea. In fact, it is a requirement to be actively searching for a job for you to get unemployment benefits in some states. Here is some work from home jobs that you could look into:

Freelance writing is a great way to make a living in the comfort and safety of your own homes. There are plenty of writing opportunities on the internet. You need some gadget to type on, a stable internet connection, a bank account or PayPal account, and high school writing skills.

The online tutoring industry has also been growing significantly over the years. You could also look into teaching English courses to students abroad. There are tons of students from different non-English speaking countries seeking to learn how to speak English.

Sell your crafts or any unwanted items.

If you’re an artsy person, you can try selling your crafts online. There are plenty of homemade business ideas you can try. Many people are turning to sell their crafts online to get some money during the pandemic. You could also unclutter your home and sell any old and unwanted items. This is one of the easier ways to earn money and make space in your home.

In the end, the best way for you to deal with a foreclosure during these times is to take advantage of the foreclosure suspension. You have to find a way to earn money and save up as much as you can immediately. Who knows? You might even be able to start paying off your mortgage even before the suspension is lifted. That’s if you start saving some money now. If things still don’t work out after the suspension is lifted, you can always seek legal counsel to see the next best step.

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