According to recent reports the California Keep Your Home Program has been expanded in the hopes of including more homeowners who may be suffering from unemployment or general home loan issues leading to financial distress and the possibility of foreclosure. These new options are, again, not only hoped to benefit homeowners who may need unemployment assistance, but they may also be able to take advantage of the reinstatement plan that this particular Hardest Hit Fund Program has been able to offer, and there are also options for homeowners to receive transition assistance if they qualify for a short sale or deed in lieu of foreclosure plan and are relocating from their home.
In a report from the California Housing Finance Agency, California homeowners who had refinanced their home or used a home equity line of credit may now be eligible for these assistance programs that address unemployment, homeowner delinquency, or the need for assistance when relocating to a new living arrangement. Also, some homeowners who had their home loan originated after January 1, 2009 could potentially qualify for these assistance plans directly from the Keep Your Home California initiative, and it has been reported that homeowners who may have previously not qualified for these particular reasons could be contacted and may be in as position to reapply for these assistance options.
Understandably, there are numerous homeowners across the nation who have been relying on home loan modifications as a way to avoid the loss of their homes due to foreclosure when financial distress was in place. When it was apparent that unemployment, negative equity, or a homeowner’s inability to meet the costs associated with being behind on their home loan were causing troubles that simple modifications could not meet, extension plans were offered from the Making Home Affordable Program, which led to some individuals being offered aid when issues like unemployment or the need for refinancing their home when negative equity was present.
However, when it came to homeowners who were unemployed, as an example, options like the Home Affordable Unemployment Program that offers forbearance on a homeowner’s monthly mortgage payment did not always keep homeowners from foreclosure and in states where these issues were particularly prevalent, the Hardest Hit Fund began offering state housing agencies the opportunity to address these specific issues for homeowners in their area. California is not the only state that has these particular programs in place and alternative initiatives like the Emergency Homeowner Loan Program are also hoped to soon help homeowners who are unemployed find stability while they are looking for a job. Yet, these new extensions to the California Keep Your Home Program are hopefully going to help a greater number of homeowners avoid the loss of their home until the housing and job market can stabilize to a point where these men and women are on a firmer financial ground and can meet their mortgage obligations without the need for aid.