Unemployed homeowners in Texas may have home loan assistance plans available from the Department of Housing and Urban Development’s Emergency Homeowner Loan Program which is hoped to be implemented in the spring of 2011 to assist those who are both jobless and in need of some form of foreclosure prevention on their home. Recent reports from HousingWire.com have indicated that Texas will receive the most assistance from this HUD program and, for this reason, homeowners who are eligible may receive financial assistance that can help them meet their mortgage payments for up to two years.
The Emergency Homeowner Loan Program is using a similar set of assistance plans to the Hardest Hit Fund as many of these state housing agency programs and various assistance plans outside of traditional home loans modifications through HAMP have been needed since federal mortgage modification programs have had their problems and have reportedly begun to slow. Also, this program which offers home loan assistance through loans at 0% interest mirror some of these Hardest Hit Fund programs as homeowners who qualify will have their loan phased out over time and, essentially they may be exempt from repaying any debt associated with this assistance plan that kept them in their home while they were looking for work.
Homeowners in Texas will not be the only ones who can qualify for this unemployment assistance through HUD, but reportedly states like New York, Pennsylvania, and Massachusetts will also be given the option of acquiring Emergency Homeowner Loan Program opportunities. Yet there are also some states that may offer HHF funds as well as this Treasury program has been in place to help homeowners in some of the areas across the nation that have been particularly affected by the recession, unemployment, and housing difficulties.
While these state housing initiatives are no guarantee to foreclosure prevention, homeowners that do stand a high likelihood of finding an employment opportunity and returning to a position where they can meet their monthly mortgage payment are typically those who will qualify for these assistance plans which, again, may last for 24 months, but there are also alternatives to these assistance programs which may be necessary if homeowners do not qualify.
Federal and proprietary home loan modifications are still in place and can be helpful when it comes to lowering a homeowner’s mortgage payment, but for homeowners who are unemployed and have little or no income, the Unemployment Program may offer home loan payment forbearance for a period of time during which a homeowner is seeking employment, and there are also short sales and deed in lieu of foreclosure plans which may be helpful as well.