Homeowners in Michigan can Receive Assistance with Foreclosures and Forfeitures through Homeowner Assistance Fund
Cathy Anderson, the Iosco County treasurer in Tawas City, Michigan, is urging homeowners to take advantage of the Michigan Homeowner Assistance Fund to prevent losing their homes. Anderson spoke at a recent Board of Commissioners meeting, encouraging homeowners to apply for assistance through the fund before the deadlines, which are March 1st for foreclosure assistance and March 31st for forfeiture assistance.
The Michigan Homeowner Assistance Fund was created as a result of the American Rescue Plan Act of 2021 (section 3206) to help mitigate the financial hardships caused by the COVID-19 pandemic. It provides funds to homeowners who have faced mortgage delinquencies, defaults, foreclosures, loss of utilities or home energy services, and displacement due to financial hardship caused by the pandemic. The U.S. Department of the Treasury allocated $242,812,277 to the State of Michigan based on the number of unemployed individuals and delinquent mortgage payments.
Eligible homeowners can receive up to $25,000 to pay for delinquent mortgage/housing expenses, taxes, insurance, land contract payments, condominium/homeowners’ association fees, utilities, and internet broadband services. To apply, homeowners must meet the following criteria: have a household income less than 150% of the Area Median Income, occupy the property as their primary residence, and explain a financial hardship directly related to COVID-19.
The application process can be completed online, and questions can be answered by contacting Customer Service at 844-756-4423 or emailing MSHDA–HO-[email protected]. Due to the high volume of applications, it may take up to six to eight weeks to receive a response. The new Term sheet on the website provides more detailed information for households who apply after January 10th.