This Friday, July 22nd, is the deadline for at-risk Hawai’I homeowners facing foreclosure as a result of a loss in income due to a change in employment or high medical bills to qualify for Emergency Homeowners’ Loan Program (EHLP) interest-free, forgivable “bridge loans” of up to $50,000 to bring their mortgages current and help them pay their mortgages.
The U.S. Department of Housing and Urban Development awarded Hawai’i state some $6.3 million for “bridge loans” under the EHLP program. Assistance is available to 130 total Hawai’i homeowners under EHLP. Three local nonprofits agencies — the Consumer Credit Counseling Service, Hawai’i Home Ownership Center, and Hale Mahaolu (Maui
County only) – will provide services for 54 Hawai’i homeowners. Three agencies on the mainland approved by HUD — Homeownership Preservation Foundation, Money Management International Inc. and National Community Reinvestment Coalition – will provide services for 76 other Hawai’i homeowners.
“The clock is ticking for Hawai’i state homeowners at risk of foreclosure,” said HUD’s Honolulu Field Office Director, Ryan Okahara. “It is absolutely critical for them to get to the EHLP Web site at www.findEHLP.org before Friday, July 22nd, to pre-apply for an EHLP bridge loan. Simply put, it could be the difference between losing or holding onto their homes.”
The deadline for homeowners to submit a Pre-Application to a participating agency is this Friday, July 22, 2011. Contact information for participating agencies, the Pre-Applicant Screening Worksheet and more information on the EHLP program and its eligibility requirements can be found at www.FindEHLP.org or by calling 211.
To be eligible for an EHLP “bridge loan,” households may incomes of no more than 120 percent of area median income. For EHLP income limits in Hawai’i, see www.huduser.org/portal/EHLP/index.html. The income limit for Hawaii County is $82,900.
Due to expected high demand for EHLP “bridge loands,” interested homeowners will complete a Pre-Applicant Screening Worksheet first. If there are more potentially eligible pre-applicants than funding available, the worksheets will be entered into a random selection process. Homeowners will be randomly selected and invited to apply for EHLP. Unfortunately, some qualified homeowners will not be selected and some will complete an application but not be approved to receive assistance because they do not meet all of the requirements.
The EHLP program is being administered on HUD’s behalf by NeighborWorks America, a national nonprofit organization that, since 1991, has been committed to providing access to homeownership and to safe and affordable rental housing.