Chicago homeowners struggling in the current economy may be eligible for Hardest Hit Funds due to high Illinois unemployment and foreclosure rates. Last August Illinois received $166,352,726 that could be used to aid qualified, unemployed homeowners with their mortgage payments. Now, the Illinois Housing Development Authority has received an additional $279.3 million dollars to help homeowners.
The new program, the Hardest Hit Fund’s Homeowner Emergency Loan Program (HHF HELP) can provide temporary mortgage assistance to many unemployed homeowners. Homeowners in Illinois are eligible for a ten year deferred payment, no-interest loan with a maximum of $20,000-25,000, depending on location and circumstance.
Assisted homeowners must be actively searching for a job or participating in active job training to be eligible and have had an income reduction of at least 25%. The homeowner’s mortgage payment must exceed 31% of the current household income and income loss must be proven. A hardship affidavit, and an action plan for financial independence need to be submitted, as well. Homeowners are not required to be delinquent on their mortgages to apply for HHF HELP. For more information for Chicago, click here.