New Mortgage Forbearance Protections Signed Into Law
Governor Newsom signed AB 1842 and AB 1847, expanding mortgage protections for wildfire survivors. AB 1842 creates a permanent statewide framework allowing eligible homeowners whose properties become uninhabitable after a federally declared disaster to request up to 12 months of mortgage forbearance, with protections against late fees, foreclosure and adverse credit reporting during the forbearance period. AB 1847 specifically strengthens protections for survivors of the 2025 Los Angeles fires, extending available forbearance from 12 to 24 months, extending the application deadline to January 7, 2029, and generally requiring servicers to offer an option to defer missed payments to the end of the loan when permitted by applicable investor or servicing rules.
The Governor’s Announcement | Pasadena Now | Pasadena Star News | CalMatters | Mercury News | KFI News | My News LA | Realtor.com