Programs from the Hardest Hit Fund provided by various states to offer unemployment assistance to homeowners in distress or being continually sought out in some of the hardest hit areas of the nation, as some programs have only recently begun while others are still working to help those in need, despite having their assistance plans open for a longer period of time. Obviously, states like California, Florida, and Nevada are some of the harder hit areas, in terms of housing and homeowners facing difficulties related to unemployment, but numerous states have begun offering these plans as a way to bring more security to homeowners in trouble.
Yet, homeowners are in different positions when it comes to need and the Hardest Hit Fund will offer different strategies that homeowners may use throughout these states as a way to address particular issues that may be felt in a certain area or by different homeowners suffering from numerous forms of financial distress. Unemployment remains one of the main problems that homeowners are facing as a result of the economic downturn years ago. While there are many who feel that the recession is far gone and there are reports of stabilization, homeowners are still feeling the effects of unemployment and housing problems, which may have led some to a negative equity situation.
Unemployed homeowners, though, have had some options made available through the federal Making Home Affordable Program, but more officials want homeowners to be aware of these state-specific programs that may also assist them with their foreclosure prevention efforts which could be due to unemployment. While HAMP has offered a forbearance program to unemployed homeowners who qualify, which will give a minimum of three months to a homeowner where they can either get a reduced payment on their home loan or forgo making any mortgage payments, the Hardest Hit Fund has also offered different solutions to homeowners who fear unemployment could cause them to lose their home.
Understandably, homeowners who have previously been in a financial position where they could meet their mortgage payment each month are seeking any assistance that may be offered when the sudden loss of their job and inability to find a new employment opportunity has created an environment where they are unsure of their ability to continue owning their home. However, the Hardest Hit Fund is not only in place to address issues for unemployed homeowners, but it is one resource that jobless men and women can access if they are in a financially troubling situation.
While these programs in various states may differ, there are options for homeowners who need mortgage payment assistance due to being unemployed, that may offer aid from either loans or grants. Essentially, some of the programs will offer homeowners a loan that will help them pay their mortgage for a set period of time, and if subsequent qualifications are met, this loan which will come with no interest may be forgiven if homeowners remain in their property for a set time after assistance is given. However, there are also programs which offer grant-like assistance to distressed homeowners in certain situations, that will help them avoid the loss of their home by offering aid up to a certain amount which can be applied towards a homeowner’s mortgage payment. Again, these programs will differ, but homeowners who are suffering from unemployment and qualify for unemployment benefits may be able to use these state-specific plans to their advantage and, as a result, could avoid the loss of their home while they continue to look for an employment opportunity.