Sunday, July 3, 2011

Newest Source of Funding for Foreclosure Help. But You Have to Act Fast

Another (small) program has opened up for some homeowners caught up in the housing crisis.  For people NOT living in the 17 states covered by the Hardest Hit Fund Program, another program has been set up, the Emergency Homeowner's Loan Program.  For up to 30,000 homeowners, applications will be taken to be put into a lottery for no-interest, forgivable loans of up to $50,000 that can cover back payments and partial payments of future mortgage payments up to 24 months, or up to $50,000 total loan.  There are, in fact, lots of limits: you can't be in the 17 states covered by the Hardest Hit program, and even if you qualify, the program is limited by money: there is only enough funds for 30,000 participants.  You must be at least 90 days overdue on your mortgage, and involuntarily unemployed or underemployed.  And you must apply by July 22, 2011.  For more FAQ, see this site.

Of course, since these are loans, NOT grants, there is a chance that 1) you will have better times ahead, make more money, and be able to repay them or 2) you won't and you will be in more debt than before.  To talk to someone about this, don't bother calling any commercial services to help you: free help from HUD counselors can answer any of your questions.  See this page to find qualified ELP counselors.

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