18.104.22.168 After a Forbearance Plan Is Granted
The servicer must continue to work with the borrower to determine what additional steps can be taken (e.g., application of insurance claim settlements to repair the property), and must evaluate the loan for a workout option before the forbearance plan expires.
Servicers have a range of options to deal with the unpaid payments during a forbearance, depending on factors including whether the servicer has been in touch with the borrower, the extent of the delinquency (how far behind the borrower will be at the end of the forbearance), and the affordability of the recalibrated payments. 164 Note that Fannie Mae has announced the availability of an Extend Modification, as the top option available to some borrowers for repaying an arrearage after a forbearance. This approach extends the term of the mortgage by the number of months of the forbearance and creates a repayment plan for the escrow shortage.165