Unemployment home loan assistance from the Department of Housing and Urban Development’s Emergency Homeowners Loan Program was set to work alongside the Hardest Hit Fund Program as a way to offer unemployed homeowners the assistance they may need to avoid the loss of their home. Essentially, homeowners were set to receive assistance from HUD when eligibility requirements were met and, for qualified homeowners, assistance for up to two years may be offered through this initiative.
However, some problems related to the disbursement of these funds have arisen and, as reported by Housingwire.com, this unemployment home loan assistance program may not be implemented until later in the first quarter of 2011. According to HousingWire, the ability of officials to get these funds into the hands of unemployed homeowners has presented problems and may take longer than the original timetable which was set forth.
Understandably, this has been frustrating for homeowners who felt they may have been able to use this type of program to avoid the loss of their home while still struggling with unemployment. Job seekers do have options through the Home Affordable Unemployment Program, which may offer home loan forbearance for unemployed homeowners, and various state housing agency-implemented Hardest Hit Programs, but this program from HUD was hoped to offer yet another route for jobless individuals to find some form of security in their home at the present time.
Long-term unemployment has been a major issue for many but these programs were hoped to avoid a widespread problem related to foreclosures which may be seen if unemployment remains high and home loan costs simply exceed the ability of homeowners to pay. While this Emergency Homeowners Loan Program will be available in 2011, delays in the program’s implementation has many concerned that homeowners who may have been able to avoid the loss of their home could have missed this opportunity, but there are those who point out that the benefits to come can still save homes for those suffering from long-term unemployment.
While the HUD program has yet to be implemented fully, homeowners have been advised to contact their servicer about various foreclosure prevention efforts, speak with a reputable housing counselor approved by HUD or the Making Home Affordable Program, or contact their state’s housing agency for information on the availability of Hardest Hit funding which may help them with their unemployment home loan assistance needs and foreclosure prevention efforts.