New THDA program to help homeowners hurt by pandemic
JACKSON, Tenn. — As we continue to adapt in a world of COVID-19, the toll that was left on the economy is still being felt today.
In 2020, when COVID-19 hit the United States, a lot of Americans lost their jobs and were left with bills they could no longer afford.
To help, the Tennessee Housing Development Agency launched a new federally funded program that is designed to assist homeowners who are delinquent on their mortgages due to COVID-19 related incidents.
“A lot of folks, they were doing just fine until COVID shut things down or the government told them they couldn’t work. So we’re making those people whole. If they missed eight, 10, 12 or more mortgage payments, we can make those payments on our behalf,” said THDA Executive Director Ralph Perry.
Perry says the goal is to supply them with enough funds to help them recover and get back to being financially stable.
The grant covers the mortgage, the interest, the insurance, the property tax due, and even the homeowner association fee.
“We can bring them current on their mortgage, and if they’re still experiencing those financial hardships today, we can continue to make six more payments for them to give them a little more time to get back on their feet,” Perry said.
Perry says the maximum amount that can be granted to an individual household is up to $40,000. To qualify for this grant, you have to have a salary that’s lower than $119,850 annually.
“We just need to see what you are earning now and what happened to you. Did you lose your job? Did your hours get cut in half? Did somebody get sick and you got hit with a big medical bill? That kind of thing,” Perry said.
The THDA has partnered with dozens of mortgage services, and Perry says if your loan services are not listed on the site, contact them so they can set-up an appointment to build a relationship with that service.
“The servicers want to get paid. They’ve been losing money too. So knowing that we’re going to bring your client current and even make some payments for them going forward, that’s exactly what they want to see happen. Everybody loses on a foreclosure,” Perry said.
You can read more from the THDA and apply here.
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