Texas Homeowners Threatened by Foreclosure Can Find Relief from Non-Profit Organization
As the cost of housing continues to escalate in America, many homeowners are finding it increasingly difficult to make ends meet. With the threat of foreclosure looming for some, a non-profit organization based in Southeast Texas, Legacy Community Development, is stepping up to offer financial relief to these struggling homeowners.
Kirkni Richardson, a representative from Legacy Community Development, explains that the organization has already received over 1,000 applications from Southeast Texas families seeking assistance from their homeownership program.
According to Richardson, “Residents are eligible to receive up to $65,000 in homeowner assistance. So, if you’re lagging on your mortgage, property taxes, homeowner’s insurance, or even utilities, we’re here to help.”
To qualify for this program, applicants’ income must be at or below 100 percent of the area’s median income. For the majority of counties in Southeast Texas, this equates to an annual income of approximately $120,000. The statewide program boasts a robust fund of $842 million, which is distributed across eight counties, including Jefferson County, Orange County, and Hardin County.
This much-needed assistance is made possible by a collaboration between the state’s homeowners assistance program and Legacy Community Development. This couldn’t have come at a better time for some homeowners facing financial hardship.
Richardson underscores the advantages of the program, stating, “You don’t have to pay this back, which is remarkable. It’s not a loan that you have to repay; it’s a grant that is intended to help you.”
As Meredith Brush, a mortgage broker, points out, the issue of high mortgages is only worsening. She revealed that she’s been receiving multiple calls every week from current homeowners and past clients. “Mortgage rates, which remained in the three percent range for several years, have now surged to six percent for many homeowners,” she explained.
Brush clarifies that mortgage payments are typically composed of four elements: the principal interest, taxes, insurance, and possibly private mortgage insurance. However, the factors that fluctuate and potentially lead to steep monthly mortgage payments are taxes and insurance. Brush strongly encourages homeowners in Southeast Texas to scrutinize their insurance renewal each year and explore ways to reduce expenses.
She suggests, “They can adjust the dwelling coverage. They can adjust the deductible. There’s a lot they can do to bring their payments back down, then resubmit the insurance policy to their lender and avoid deficiencies.”
State assistance remains a viable option for those who continue to struggle financially. “Legacy is here to assist Texas homeowners,” Richardson reiterates. “If you require aid, we are here to provide it.”
The processing time for assistance usually spans one to two months, depending on the extent of help a homeowner requires, Richardson concluded.