Sunday, April 14, 2024

Virginia Launches Mortgage Relief Program

Virginia has launched a Mortgage Relief Program. (Courtesy of Unsplash)

STATEWIDE — Applications opened Monday, Jan. 3 for a statewide Mortgage Relief Program, which will provide homeowners with assistance to ease mortgage delinquencies, defaults and foreclosures due to the pandemic.

The program is a companion to the Virginia Rent Relief Program.

The Commonwealth implemented rent and mortgage relief programs through designated state and federal resources, according to a Dec. 30 release from Gov. Northam’s office.

Together, these programs have provided more than $519.5 million in 106,621 rent relief payments for over 76,500 households across the Commonwealth. Families with children represent the majority of households assisted by this program.

“Virginia is taking aggressive steps to help people stay in their homes,” Gov. Ralph Northam said. “Owning a home is the American dream, and this new program will help keep that dream alive.”

Through the U.S. Department of the Treasury’s Homeowners Assistance Fund, Virginia received more than $258 million to support homeowners struggling with housing instability due to the pandemic.

“Providing housing stability and supporting Virginia homeowners is of the utmost importance right now as we continue to advance our recovery efforts from the pandemic,” Virginia Housing Chief Executive Officer Susan F. Dewey said. “This program will protect homeowners at risk of losing their homes thereby strengthening our communities and our economy and improving the lives of many Virginians across the Commonwealth. Our mission is to help Virginians attain quality, affordable housing and foster successful homeownership, and this program directly aligns with our goals by providing vital financial support to homeowners during a time of great need.”

To be eligible for the program, homeowners must have experienced a reduced income or increase in living expenses after January 21, 2020 and must currently own and occupy the property as their primary residence.

There are also maximum income limits and other eligibility requirements

Funds from the program will be distributed directly to mortgage lenders and servicers, contracts for deed holders, county treasurers or local taxing authorities, property insurance companies, and homeowner and condominium associations. 

While utility assistance is not an eligible expense under the Virginia Mortgage Relief Program, it is available under other state, local or private sector programs.

For more information or to apply for the program, visit here, or call (833) 687-8677 (833-OUR-VMRP).

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