August 29, 2011 (Jeff Alan)
The Department of Housing and Urban Development (HUD) has announced today that resources will be available to reach more struggling homeowners in its Emergency Homeowners’ Loan Program (EHLP) and that applications will be accepted through September 15, 2011.
As part of the Dodd-Frank Reform Bill and the Consumer Protection Act, HUD, in conjunction with NeighborWorks America, announced the launch of the Emergency Homeowners’ Loan Program (EHLP) as a complement to the Hardest Hit Fund that was previously available to 18 states and the District of Columbia in late June 2011.
The program was initially forecast to run through July 22, 2011, but was extended until July 27, 2011. However, enough resources are still available to reopen the program until September 15, 2011.
The program was designed to assist homeowners who have experienced a reduction in income and are at risk of foreclosure due to involuntary unemployment or underemployment caused by economic conditions or a medical condition.
Under EHLP guidelines, eligible homeowners can qualify for an interest free loan which pays a portion of their monthly mortgage for up to two years, or up to $50,000, whichever comes first.
The program was launched by the Department of Housing and Urban Development (HUD) in conjunction with NeighborWorks America and is expected to aid up to 30,000 distressed borrowers with an average loan of approximately $35,000.
Homeowners in the following states are eligible for EHLP if they meet certain requirements: Alaska, Arkansas, Colorado, Hawaii, Iowa, Kansas, Louisiana, Maine, Massachusetts, Minnesota, Missouri, Montana, Nebraska, New Hampshire, New Mexico, New York, North Dakota, Oklahoma, South Dakota, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, and Wyoming and Puerto Rico.
Only participating agencies found on www.FindEHLP.org are approved to accept Pre-Applicant Screening Worksheets. There is no fee to submit a worksheet or to get assistance for filling out the worksheet. You can also call toll free at 855-346-3345 for assistance.
Tags: HUD, NeighborWorks America, EHLP, Pre-Applicant Screening Worksheets, homeowners, interest free loan, mortgage assistance, unemployment, economic conditions