The federal government is extending their Emergency Homeowners Loan Program (EHLP) for unemployed and underemployed homeowners who are facing foreclosure. But the $1 billion initiative will expire in two weeks!
The Benefits
- Up to $50,000 in interest-free grants or loans to help pay mortgage bills for up to 24 months
- Homeowners who take advantage don’t have to pay back the money if they keep their home for five years or more
Why the Extension?
Since not enough qualified homeowners applied by the original deadline of July 27th, the U.S. Department of Housing and Urban Development (HUD) has decided to reopen the program and move the deadline to September 15th.
To Qualify
- Formal notification that your lender intends to foreclose because you’ve fallen at least three months behind on your mortgage
- At least a 15 percent drop in income due to involuntary unemployment or underemployment caused by the Great Recession or a medical emergency
- Income that doesn’t exceed the program’s limits
- Recipients must still be able to contribute $150 per month to the mortgage
- Own a home in: 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, Wyoming, or the Commonwealth of Puerto Rico
Use It Or Lose It
If not allocated, the money will be returned to the U.S. Treasury so anyone who is eligible should apply now! Borrowers must contact a housing counselor in the NeighborWorks America network. HUD will then randomly select a number of pre-screened applicants until the EHLP funding is used. Homeowners can go to FindEHLP.org for more information and to apply.
Similar Programs
- For Arizona: Save Our Home AZ
- For Connecticut, Delaware, Idaho, Maryland, and Pennsylvania: click here (deadline is September 30, 2011)
