There are numerous California homeowners that are in a distressed situation and can apply for this program. Homeowners that might have been denied before should apply, under these new less stringent guidelines. Please contact the California State Housing Agency listed at the bottom of this article.
Keep Your Home California, a state program with $2 billion in funding from the federal government for areas hardest hit by foreclosures, said today it has expanded its eligibility requirements so more people can get help, including homeowners who raised cash through refinancing or who have second homes or who have been unemployed longer than six months.
The California Housing Finance Agency, which administers the program, said has expanded its unemployment mortgage assistance so that payments of up to $3,000 a month will continue nine months as long as homeowners continue to receive benefits from the California Employment Development Department.. Previously help with mortgage payments stopped at six months.
In addition the finance agency said now for the first time people who obtained cash from a previous refinancing of their home will become eligible for reductions on their loan balances of up to $50,000 to make their monthly mortgage payments affordable. The cash out restriction previously was eliminated on other forms of assistance that are available under the program.
Also the maximum amount of money the state makes available to help a homeowner catch up on his or her mortgage payments after a hardship has been increased from $15,000 to $20,000.
Under the new policy, homeowners also can own properties in addition to the home they are trying to save. State housing officials said this change is to address situations where homeowners were additional signers on a home for a relative.
In order for homeowners to qualify for assistance through Keep Your Home California their mortgage servicers must be participants. The finance agency says almost 50 mortgage servicers now participate and together they represent more than 85 percent of mortgages in the state.
“Homeowners who might have been found ineligible before are encouraged to contact Keep Your Home California again to see if they qualify under these new guidelines,” California Housing Finance Agency Executive Director Claudia Cappio said in a statement.
Homeowners seeking information about the program should call: 888-954-5337 between 7 a.m. and 7 p.m. weekdays and 9 a.m. to 3 p.m. Saturdays. Or visit http://www.KeepYourHomeCalifornia.org. A Spanish-language site: http://www.ConservaTuCasaCalifornia.org . If this program does not work for your particular situation, you might consider a Short Sale, please contact Johnny Brooks at www.JohnnyBrooksHomes.com or 530-219-1518 for specific details.