Are you having trouble paying your bills? Did your money tree perish in the backyard? If so, members of Congress have given the U.S. Department of Housing and Urban Development (HUD), $1 billion to help a small group of homeowners avoid losing their homes.
It is no secret that the lagging economy is connected to the nation’s collapsing housing market, but picking winners and losers or class warfare will only anger millions of homeowners who are forced to solve their housing issues without government help.
HUD allotted funds to 27 states to help distressed homeowners who have fallen behind on their payments with “Emergency Homeowners’ Loan Program (EHLP).” However, the left-leaning state of California, which has been hit hard by the recession, was left off HUD’s relief program.
As part of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Congress, HUD will receive $1 billion in taxpayer funds to implement EHLP.
“The program will assist homeowners who have experienced a reduction in income and are at risk of foreclosure due to involuntary unemployment, underemployment, due to economic conditions or a medical condition,” according to HUD.
The mortgage modification program qualifies eligible homeowners for an interest free $50,000 loan which pays part of their monthly mortgage for two years.