NJCA applauds Governor Murphy, State Legislature, for protecting New Jerseyans from foreclosures and evictions during COVID-19 pandemic

Newark— New Jersey Citizen Action (NJCA) today applauded Governor Murphy, Lt. Governor Oliver, Senate President Sweeney, Assembly Speaker Coughlin and the New Jersey Legislature for taking swift action to ensure state residents are not displaced from their homes and subject to even greater health risk as the COVID-19 pandemic evolves. Through an executive order and legislation signed into law today, New Jersey’s elected leadership has imposed a moratorium on foreclosure and rental evictions. Under Governor Murphy’s Executive Order No.106, sheriffs, court officers and their agents may not remove anyone from their homes for evictions caused by financial hardship during the state of emergency.

“People asked to stay in their homes for public health and safety will need a home in order to do that,” said Beverly Brown Ruggia, NJCA Financial Justice Organizer. “The polices announced by Governor Murphy and the legislation passed today by lawmakers build the first line of defense in stopping the COVID-19 from increasing housing insecurity in New Jersey. The state policy applies to all rental evictions and it applies to all foreclosure evictions, regardless of the type of mortgage.

Governor Murphy also announced that the New Jersey Housing and Mortgage Finance Agency is expanding its Foreclosure Mediation Assistance Program (FMAP) to include pre-foreclosure counseling. “NJCA has been able to restructure its operations to continue providing housing and foreclosure counseling, and financial coaching services,” said Phyllis Salowe-Kaye, Executive Director of New Jersey Citizen Action. “We look forward to seeing the details of expanded support for housing counseling agencies announced that will be needed in order to keep these vital services available to the many New Jerseyans whose financial security will be negative impact by the COVID19 pandemic.”

The US Department of Housing and Urban Development has imposed a 60-day moratorium on foreclosure evictions, which is limited to single family homeowners with Federal Housing Administration insured mortgages. The Federal Housing Finance Agency has also imposed a 60-day on moratorium foreclosure evictions for Fannie Mae and Freddie Mac mortgages, “We are going to need the broader all-inclusive policymaking that came out of Trenton today throughout the crisis at both the state and federal level if we are going come out of this pandemic on our feet,” said Brown Ruggia.

“NCJA is ready to work with the Governor and the Legislature to expand the policies announced today if the need arises,” Brown Ruggia added. “With unemployment already soaring in New Jersey, penalty free forbearance on mortgages for at least three months for homeowners affected by the pandemic would help prevent delinquencies and new foreclosures. For renters who have lost their jobs because of the pandemic, a moratorium on eviction filings is an important measure to consider as well.”

New Jersey Citizen Action is a statewide advocacy and social service organization that fights for social, racial and economic justice for all while also meeting the pressing needs of low and moderate income New Jerseyans through education and direct service.