California Dem. Lawmakers Push Proposal For Added Mortgage Relief – NMP Skip to main content

California Dem. Lawmakers Push Proposal For Added Mortgage Relief

May 22, 2020
Photo credit: iStock.com/Thomas De Wever
Director of Events

California Democratic lawmakers are looking to combat the rise in mortgage delinquencies with a series of proposals that seek to protect homeowners during the COVID-19 pandemic. A proposed bill from Assemblywoman Monique Limon, (D-Santa Barbara), would give homeowners the ability to request mortgage forbearance for up to one year, with mortgage servicers expected to add missed payments to the end of the loan. 
 
“During emergencies and financial crises we need to beef up consumer protections, not dilute them,” said Limon, who chairs the Assembly Banking and Finance Committee, according to The Sacremento Observer.
 
However, these measures are causing a concern among banks and mortgage servicers as extended forbearance could damage their bottom line, as servicers would be responsible for making the missed payments in advance. "Limon’s bill would extend the ban on foreclosures to private mortgages, and allow borrowers up to nearly a year in temporarily waived mortgage payments with the forbearance extending beyond California’s declared state of emergency," according to the report.
 
Click here to learn more about the proposed bill.

 
About the author
Director of Events
Navi Persaud is Director of Events at NMP.
Published
May 22, 2020
Fed Holds Rates, But Pricing Pressures Persist

Rising Treasury yields and fresh inflation data complicate rate locks, borrower qualification, and lender margins as markets anticipate another hike in December

Oct 29, 2026
Zippy Adds Capital For Manufactured-Home Lending Push

The $20 million investment from Saluda Grade will support expansion beyond 27 states and new loan products across wholesale, retail, and community channels

Oct 16, 2026
Inflation Hits 3.7%, Putting Mortgage Rate Relief At Risk

September’s inflation pickup puts recent rate improvements at risk, potentially eroding affordability gains from lower home prices and seller concessions

Oct 14, 2026
PLACE Acquires Ardley, Expanding Push To Turn Existing Borrowers Into New Loans

The latest deal connects borrower retention technology with Maxwell's origination platform and PLACE's real estate network, creating new opportunities for lenders

Oct 09, 2026
Equifax, TransUnion Launch New Tools To Cut Credit Report Costs

Both bureaus introduce ways to purchase credit scores separately from reports, while Equifax reports growing VantageScore adoption and extends $1 pricing through 2028

Oct 09, 2026
Newrez, eXp Realty Form Joint Venture To Target Purchase Business

Revenos Mortgage is set to launch in early 2027, replacing eXp's joint venture with Kind Lending

Oct 08, 2026