Maryland homeowners who are facing foreclosure because of job loss are now eligible to receive help under a $40 million program that Gov. Martin O’Malley (D) announced Friday.
“The Emergency Homeowners Loan Program will provide limited and targeted assistance to help working families get back on their feet and keep their home while they look for work,” Shaun Donovan, U.S. secretary of housing and urban development, saidt.
Eligible homeowners include those who have a loss of income because of the economy or a medical condition; are three to 12 months delinquent on their mortgage payment and facing foreclosure; have a household income equal to or less than the area’s median income; and have a “reasonable likelihood” of resuming mortgage payments within two years.
“This means that homeowners who lost their jobs through no fault of their own will get the breathing room they need in order to find new employment and get back on track financially,” said Raymond A. Skinner, secretary of the Maryland Department of Housing and Community Development.
Homeowners can receive assistance to pay 12 months of overdue debt, with a maximum of $50,000.
Rosa Cruz, a spokeswoman for the state housing department, said the federal funds must be spent by September.
Also, the state is holding a “Mortgage Late? Don’t Wait!” foreclosure prevention workshop from 9 a.m. to 2 p.m. Saturday at the Prince George’s Sports & Learning Complex in Landover. Loan servicers, pro bono lawyers and housing counselors will be available to help homeowners and renters who are facing foreclosure or eviction.