New York State’s Program Helps Homeowners Avoid Foreclosure
New York is the first in the country to get the green light to launch a fund to help homeowners avoid mortgage delinquency and foreclosure.
The US Treasury has approved the program which will provide up to $ 539 million statewide to curb defaults and travel. The Homeowners Assistance Fund is accepting applications as of January 3.
Eligible applicants can get financial assistance to make up for missed payments or reduce mortgage debt to make payments more affordable. The plan also allows unemployed homeowners to get assistance for up to six months of future housing payments.
The application process is available in several languages. More information can be found on the HAF website.
To be eligible, applicants must have household incomes equal to or less than 100% of the region’s median income and be at least 20 days behind on payments from their primary residence. The assistance will take the form of a five-year, interest-free forgivable loan and if the owner remains in the property for five years, the loan will be fully forgiven.
The state also has $ 125 million in funds for homeowners whose tenants did not participate in the emergency assistance program or have moved without paying rent.
Gov. Kathy Hochul’s office said a request for more help was also underway for nearly $ 1 million.