WBK Industry News - Federal Regulatory Developments

Department of Veterans Affairs Extends Foreclosure and Eviction Relief

Late last year the Department of Veterans Affairs (VA) issued Circular 26-20-40 under Executive Order 13945, extending foreclosure and eviction relief previously announced and subsequently extended by five prior moratoriums on foreclosure and eviction.

The moratorium was extended to minimize the effect of residential foreclosures and evictions in the midst of the ongoing COVID-19 crisis by providing relief to those veterans most impacted by this national emergency. 

According to the Circular, this moratorium applies to properties secured by VA-guaranteed loans, including those properties that were previously secured by VA-guaranteed loans but are now a part of the VA’s REO profile. 

This moratorium has been extended through February 28, 2021, with the Circular to be rescinded on October 1, 2021.