Ohio Mortgage Bankers Association Alert
October 6th, 2010
As reported by the Ohio Mortgage Bankers Association, the State of Ohio received a total of $320 million in foreclosure assistance from the federal government.
Foreclosure Assistance Programs Available on Schedule
The Hannah Report - September 27, 2010
As promised, the latest programs in Ohio's effort to help citizens facing foreclosure were up and running Monday. According to Doug Garver, executive director of the Ohio Housing Finance Agency, which is administering "Restoring Stability: A Save the Dream Ohio Initiative," the programs had already received 1,000 calls before the 1 p.m. news conference.
He went on to estimate that 26,000 Ohio families who are at high risk of default or foreclosure will be helped under one of four new programs being funded with a total of $320 million from the federal government. (See The Hannah Report, 8/11/10.)
The four programs under the "Restoring Stability" banner were designed to assist homeowners with financial hardships who have previously been unable to qualify for existing loan modification and foreclosure prevention programs, Department of Commerce Director Kimberly Zurz explained at the news conference.
"This expansion of the Save the Dream Ohio statewide initiative will provide additional assistance to Ohio homeowners who are struggling to make their mortgage payments due to a financial hardship," Zurz said. "Worrying about payments can quickly turn into worrying about losing their home. We want to help as many Ohioans stay in their homes as possible."
Approved earlier this month by the U.S. Department of Treasury, "Restoring Stability" options include the following:
- Rescue Payment Assistance Program. This program will provide a payment to the mortgage lender to help delinquent borrowers become current on their first mortgage.
- Partial Mortgage Payment Assistance Program. This program, which is expected to provide assistance to 90 percent of those seeking help, will provide up to 15 months of assistance for unemployed homeowners while they search for a job or participate in job training.
- Modification Assistance with Principal Reduction Program. This program will provide an incentive payment matched by an investor to reduce the mortgage principal balance so a loan modification may be possible.
- Transition Assistance Program. This program will provide an incentive payment to the mortgage lender and homeowner to assist with short sale or deed-in-lieu agreements to help homeowners exit their homes gracefully.
Homeowners can now submit applications online or over the phone or by visiting one of 35 housing counseling agencies across the state. These U.S. Housing and Urban Development (HUD)-approved agencies have been designated to provide services under the four programs. A list of those agencies is available online at www.ohiohome.org.
About Safeguard
Safeguard Properties is the largest privately held field services company in the country. Located in Cleveland, Ohio and founded in 1990 by Robert Klein, Safeguard has grown from a regional preservation company with a few employees and a handful of contractors performing services in the Midwest, to a national company with approximately 800 employees. Safeguard is supported by a nationwide network of subcontractors able to perform any requested superintendence, preservation, and maintenance functions, as well as numerous ancillary services in the U.S., the Virgin Islands, and Puerto Rico.