DEADLINE EXTENDED TO SEPTEMBER 15, 2011

Program extended
to help homeowners at risk of foreclosure
Posted: Aug 29, 2011 1:32 PM
Updated: Aug 29, 2011 4:58 PM
By Chris Oberholtz, Multimedia Producer - email
FAIRWAY, KS (KCTV) -

The U.S. Department of Housing and Urban Development has reopened the application process for the Emergency Homeowners' Loan Program to give homeowners at risk of foreclosure more time to apply for the program.

The original application deadline was July 27.

HUD estimates that resources will be available to reach more struggling homeowners and will accept applications submissions through Sept. 15.

Congress provided $1 billion to HUD, as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act, to implement the Emergency Homeowners' Loan Program.

"Through the Emergency Homeowners' Loan Program the Obama Administration is continuing our strong commitment to help keep families in their homes during tough economic times," said HUD Secretary Shaun Donovan. "Working with our community partners across the nation through NeighborWorks America, we are pleased to launch this program today in 27 states and Puerto Rico to help families keep their homes while looking for work or recovering from illness."

The program will assist homeowners who have experienced a reduction in income and are at risk of foreclosure caused by involuntary unemployment, underemployment, because of economic conditions or a medical condition.

HUD allocated more than $49 million to fund this emergency loan program in Missouri.

Under EHLP program guidelines eligible homeowners can qualify for an interest-free loan that pays a portion of their monthly mortgage for up to two years, or up to $50,000, whichever comes first.

The EHLP program will pay a portion of an approved applicant's monthly mortgage, including missed mortgage payments or past-due charges including principal, interest, taxes, insurances, and attorney fees. EHLP is expected to aid up to 30,000 distressed borrowers, with an average loan of approximately $35,000.

Homeowners are encouraged to visit www.FindEHLP.org to find out more information.

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