The land of mortgage forbearance in the age of COVID is uncharted territory for lenders and consumers. The CARES Act promised mortgage forbearance for borrowers for any reason without a negative impact on credit score. Now we are seeing that this is not the exactly case. Even if a forbearance does not impact your FICO score directly, it can negatively impact a lender’s decision to give you a mortgage or loan. We are seeing the same phenomenon with borrowers whose businesses made use of the PPP program for payroll assistance from the SBA. Bottom line: Unless you really need the assistance do not opt for it as it’s impact on your future ability to borrow could be negatively impacted.


The Allison Ziefert Real Estate Group is a top producing real estate team based at Compass in Short Hills, NJ. We are local market experts, specializing in real estate and homes in Maplewood, South Orange, Millburn/Short Hills, Montclair and West Orange, NJ and the surrounding towns. We are driven by earning great testimonials and referral business from happy clients. You can read our testimonials at