Mortgage assistance options through state-specific plans have been offered through the Hardest Hit Fund, which has allowed states like California to bring aid to unemployed and underwater homeowners. California’s Housing Finance Agency is set to implement mortgage assistance plans to help homeowner in ways which are similar to home loan modifications and other Making Home Affordable initiatives.
Homeowners who are unemployed or facing trouble from an underwater mortgage often have a difficult time when it comes to finding programs which will allow them a more affordable home loan payment. While programs from the federal government like the Home Affordable Unemployment Program and principal reduction opportunities from programs like the FHA short refinance plan are available, there are some instances where homeowners are being denied these forms of aid and facing foreclosure as a result.
Understandably, factors like unemployment have been a major problem for homeowners and for those who have lost their jobs due to no fault of their own, unemployment mortgage assistance may be available from the California HFA. Also, in cases where negative equity is present in a home, the Keep Your Home Program’s principal reductions may help homeowners as well.
While, again, there are various states with similar mortgage assistance programs, it’s hoped that homeowners in areas like California will be able to find more affordable and accessible mortgage assistance plans from their state housing agency. While not all homeowners may qualify for these assistance plans, various foreclosure prevention efforts may extend to homeowners who have had trouble with modifications or other forms of home loan assistance programs.