FEHLP (Federal Emergency Homeowner's Loan Program)

So far I have covered four Federal Programs that were designed to help homeowners in trouble with their mortgage.  As I stated in the last three blogs these programs are usually mentioned as an acronym, which makes it difficult for the average person as well as even those in the Real Estate Industry to know what the program stands for.  These blogs are intended to give a brief, but enough of an explanation of each program that those reading them will be able to have a basic understanding of each program, and be able to remember them.

The first two acronym and program that I covered were HAMP (Home Affordable Modification Program), and HOPE aka H4H (Home for Homeowners),  HARP and HomePath.  Today I will cover FEHLP.

FEHLP (Federal Emergency Homeowner's Loan Program)

FEHLP was a Federal Program funded by the government under HUD, and was administered nationally through the State Housing Authorities.  Here in Connecticut the program was adminstered by the Connecticut Housing Finance Authority (CHFA).  Through this program CHFA provided mortgage assistance to homeowners experiencing a harship or a drop in income of at least 15%.  CHFA was able to utilize these Federal Funds to help eligible homeowners with mortgage assistance loans to pay:

• Mortgages that were in arrearages
• Delinquent taxes
• Homeowners insurance
• Condominium fees
• Foreclosure related legal fees
• Assist with monthly mortgage payments for up to 24 months or $50,000 whichever came first. 
  

The assistance was provided as an interest free forgivable mortgage loan for as long as the homeowner continued to live in the property and pay their mortgage on time.  In order to qualify for this program, the homeowner had to be at least 90 days delinquent on their mortgage. 

The reason that I have been talking about this program in the past tense is because the money has run out and it is no longer available.  This was one of the few programs that I have seen that has actually done what it was intend to do.  I know that several of the homeowners whose mortgages are being serviced by us at McCue Mortgage, were able to recieve help from this program and are now current on their mortgage. 

It is amazing that the Federal Government is so willing to keep on puting money into programs that fail, but is not willing to continue to fund programs like this that actually helped homeowners.

 

 

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Who To Call For Your Mortgage Needs In Connecticut:

George Souto NMLS# 65149 is a Loan Officer who can assist you with all your FHA, CHFA, and Conventional mortgage needs in Connecticut. George resides in Middlesex County which includes Middletown, Middlefield, Durham, Cromwell, Portland, Higganum, Haddam, East Haddam, Chester, Deep River, and Essex. George can be contacted at (860) 573-1308 gsouto@mccuemortgage.com, or visit my McCue Mortgage Homepage.