News

U.S. extends foreclosure moratoriums on FHA-insured homes

By Lightning Reports, Published: April 8, 2025

The Federal Housing Administration is extending by an additional 90 days foreclosure moratoriums on FHA-insured single family mortgages in the Presidentially-Declared Major Disaster Areas resulting from Hurricanes Helene and Milton, U.S. Department of Housing and Urban Development Secretary Scott Turner announced on Tuesday.

The extensions provide more time for impacted American families in devastated areas in North Carolina, Florida, Georgia, South Carolina, Tennessee and Virginia to seek federal, state or local assistance and underscore HUD’s commitment to supporting Americans impacted by the hurricanes.

“Individuals and families across the Southeast are still putting pieces of their livelihoods back together following back-to-back hurricanes this Fall,” Turner said. “HUD remains committed to the long-term recovery of these impacted communities. Today’s action will allow more flexibility as our fellow Americans continue working to stabilize their families, properties and communities.”

The FHA insures more than one million single family mortgages in the Helene and Milton disaster areas.

The moratoriums prohibit mortgage servicers from initiating or completing foreclosure actions on FHA-insured single family forward or Home Equity Conversion mortgages in the Hurricane Helene and Milton PDMDAs through July 10. It's the second extension of the moratoriums, which were most recently set to expire on April 11.

“HUD’s halt on foreclosures for single family mortgages that are insured by the FHA is welcome news for Western North Carolinians whose lives have been turned upside down by Hurricane Helene," U.S. Rep. Chuck Edwards said in a statement. "This extension provides disaster victims more time to seek and obtain the necessary financial assistance to rebuild their lives. I will continue to work closely with the administration to anticipate and advocate for the needs of our mountain folk throughout the disaster recovery process.”

Borrowers and renters

For those with a home with a mortgage insured by FHA in the disaster areas who are unable to make their mortgage payments, immediate relief is available. Homeowners are likely to have a range of options that can help them avoid the need to default on their mortgages or to sell their home or land. Borrowers should contact their mortgage servicer for assistance as soon as practical. Borrowers may also contact the FHA Resource Center at 800-CALL-FHA (1-800-877-8339; or for TTY 1-800-877-8339) for assistance.
For borrowers and renters who need immediate housing and disaster recovery assistance, HUD-certified housing counselors are prepared to provide guidance on the options that are available. To find a HUD-approved housing counseling agency, borrowers can use HUD’s online search tool at www.hud.gov/findacounselor or use our phone search by calling 800-569-4287 or 202-708-1455 (TTY).
For borrowers whose homes are destroyed or damaged to an extent that requires reconstruction or complete replacement, contact an FHA-approved lender about FHA’s Section 203(h) program. This program provides 100 percent financing for eligible homeowners to rebuild their home or purchase a new one.
For borrowers seeking to purchase and/or repair a home that has been damaged, contact an FHA-approved lender about FHA's Section 203(k) loan program. This program allows individuals to finance the purchase or refinance of a house, as well as the costs of repair or renovation, through a single mortgage.