Connecticut received a $33 million
grant from the federal Department of Housing and Urban Development (HUD) to help unemployed homeowners pay their mortgages as part of its Emergency Home Loan Program. In early April, the department found that the Connecticut Housing Finance Authority’s (CHFA) mortgage bridge loan program was “substantially similar” to the HUD program, meaning the state can begin administering the program itself. The department expects CHFA to start accepting homeowners’ applications almost immediately.
To qualify for the program, homeowners must:
- be at least three months behind in their mortgage payments but be reasonably likely to resume paying it within two years,
- reside in the home as their primary residence, and
- have a good payment record prior to the cause of their reduced or lost income.
The program works through state agencies and nonprofits. Homeowners will be offered a chance to borrow up to $50,000 with zero interest to assist them in paying off their mortgages.
