Initial Extension Requested on or before June 30, 2020:
The Borrower may request, or the Mortgagee may take, an additional Extension period of up to six months. At the conclusion of the first 12-month Extension period, if needed, two additional three-month Extension periods can be taken. If a Borrower requests the additional three-month Extension periods, the Mortgagee must approve them. The Borrower must request each three-month Extension individually. Neither of the two additional three-month Extension periods may extend beyond December 31, 2021. The maximum Extension period for these Borrowers or Mortgagees is 18 months.
Initial Extension Requested between July 1, 2020 and September 30, 2020:
The Borrower may request, or the Mortgagee may take, an additional Extension period of up to six months. At the conclusion of the first 12-month Extension period, if needed, one additional three-month Extension period can be taken. If a Borrower requests the additional three-month Extension period, the Mortgagee must approve them. The additional three-month Extension period must not extend beyond December 31, 2021. The maximum Extension period for these Borrowers or Mortgagees is 15 months.
Initial Extension Requested between October 1, 2020 and June 30, 2021
The Borrower may request, or the Mortgagee may take, an additional Extension period of up to six months. This Extension period must not extend beyond June 30, 2022. The maximum Extension period for these Borrowers or Mortgagees is 12 months.
Extension Requested between July 1, 2021 and September 30, 2021
The Borrower can request, or the Mortgagee may take, an additional Extension period of up to six months. This Extension period must not extend beyond September 30, 2022. The maximum Extension period for these Borrowers or Mortgagees is 12 months.
Initial Extension Requested between October 1, 2021 and the end of the COVID-19 National Emergency
The Borrower can request, and the Mortgagee must approve or the Mortgagee may take an initial Extension period of up to six months. If needed, an additional COVID-19 Extension period of up to six months may be requested by the Borrower and must be approved by the Mortgagee or may be taken by the Mortgagee if:
- the HECM has utilized a full six months of the initial COVID19 Extension period; and
- the initial COVID-19 Extension period will expire on or before the end of the COVID-19 National Emergency.
A table view of the Due and Payable Extension by Initial Extension Date is available at https://hudgov.dynamics365portals.us/knowledge-details/?code=KA-06074
The term of either the initial or any extended extension period may be shortened at the Borrower’s request. The Mortgagee must waive all Late Charges, fees, and penalties, if any, as long as the HECM is in an extension period.
Mortgagees must notify HUD of any additional extensions by submitting an extension request into HERMIT.
For additional information related to the COVID-19 HECM Due and Payable Extension Period see Mortgagee Letters 2021-24, 2021-15, 2021-05, 2021-04, 2020-44, 2020-34, 2020-22, and 2020-06 available at: https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee