Despite the spectacular rise of home values in California during the 1st half of 2013; the housing crisis is far from over with 25% of mortgages still underwater. So, we were pleased to find a program called Keep Your Home California funded for a tune of $874,995,915 that is designed to help low-to-moderate income home holds who have been unemployed. The program is also referred to as Unemployment Mortgage Assistance.
Here are some of the program highlights that might help you determine quickly if you will qualify for this help:
1) The general eligibility is determined by CalHFA MAC on 1st come 1st serve basis.
2) The program is not intended for jumbo loans. First Mortgage amount can not exceed 729,750.00
3) Home owners must complete a financial hardship letter.
4) Home owners monthly mortgage payment (Principal, interest, taxes, and insurance) must exceed 31% of the owners GROSS monthly income.
5) Home owners must be receiving Unemployment from California Employment Development Department (EDD).
6) Mortgage should either be delinquent or at serious risk of imminent defaults as substantiated by the lender and home owners documentation.
7) The program pays up to $3,000 per month towards the home owners mortgage. Total household assistance is capped at $36,000 per household.
8) The program assistance can last up to 12 months.
9) Not every Mortgage Servicer is participating in this program.
10) The program has qualified more than 28,108 California home owners which is awesome news.
11) The applicants must owner and occupy the Single Family Home or 1-4 unit home. Moblie homes can also qualify under certain conditions.
Some of the major exclusion and exception for the program are:
1) Owners has filed bankruptcy.
2) A Notice of Default has been filed and recorded on the property.
3) Loan is foreclosed and an Notice of default has been recorded.
The program is a welcome relief to home owners needing more time to recover from the challenging recession that appears to have much more staying power than most of us would like. And with anemic hiring that is continuing to hamper the recovery we anticipate this program will run out of money before long.
Contact Us if you need help applying for this program.
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