Congressman Cardoza Encourages Central Valley Homeowners to Apply Early for Emergency Mortgage Assistance

Press Release

Congressman Dennis Cardoza (CA-18) today encouraged struggling Central Valley homeowners to apply as soon as possible for emergency assistance to enable them to meet their mortgage payments and avoid foreclosure. To apply, homeowners should call 888-954-KEEP(5337). While nearly $2 billion in federal "Hardest Hit Fund" dollars has been provided to our state's Keep Your Home California program, the assistance will be doled out on a "first come, first served" basis and homeowners need to apply early in order to ensure they receive the help they need to keep their homes. More information about the program and eligibility requirements is available online at http://www.keepyourhomecalifornia.org/.

"The Central Valley has been hit especially hard by the housing crisis, and our homeowners need to take quick action to make sure they get the emergency assistance they need to stay in their homes," said Congressman Cardoza. "Even if you are unsure of whether you qualify, please call today and apply for the "Keep Your Home California' program.

Congressman Cardoza continued, "While this $2 billion in federal assistance will significantly help thousands of homeowners, I will continue working for more comprehensive solutions like the HOME Act to further stabilize the housing market. Preventing unnecessary foreclosures is an important step toward creating a brighter economic future for the Valley."

The Keep Your Home California program aims to preserve homeownership among low and moderate income homeowners. The four programs supported by this nearly $2 billion in federal funding are:

1. The Unemployment Mortgage Assistance Program, which will offer homeowners who are involuntarily unemployed as much as $3,000 per month toward their mortgage payment while they search for re-employment.

2. The Mortgage Reinstatement Assistance Program, which will provide financial assistance to reinstate delinquent mortgage loans that are in arrears to prevent potential foreclosure.

3. The Principal Reduction Program, which will help homeowners who are "under water," providing capital to reduce outstanding principals to market levels and prevent avoidable foreclosures. This program requires dollar-for-dollar matching funds from participating lenders.

4. The Transition Assistance Program, which will help those who can realistically remain in their homes transition into affordable, alternative new housing.

In the House of Representatives, Congressman Cardoza has introduced the Housing Opportunity and Mortgage Equity (HOME) Act to stabilize the housing crisis in California's Central Valley and nationwide. The HOME Act would reduce defaults and foreclosures significantly; reward homeowners who have continued to make their mortgage payments; and free up the capital needed to reinvigorate the housing market and the economy as a whole.

Congressman Cardoza's district (Merced, Modesto, Stockton) has struggled with some of the highest foreclosure rates in the country since the housing crisis began.

Source