Mortgage relief proposed to help disaster-hit homeowners

Lawmakers from two wildfire-stricken states put forth a new Senate bill that would mandate mortgage relief for homeowners in the aftermath of natural disasters. 

Sens. Adam Schiff, D-Calif. and Michael Bennet, D-Colo. introduced the Mortgage Relief for Disaster Survivors Act this week aimed at alleviating homeowners’ financial hardship after an extreme weather event. The bill would make mortgage-payment forbearance available in any area designated as a disaster zone by the president, state governors or tribal leaders.   

If enacted, affected mortgage borrowers would receive 180 days of forbearance, with no accumulation of interest fees nor penalties. An option to extend the initial period by another 180 days would also be offered. 

The bill covers any climate-related natural disaster…