STOP HOME LOSS SERIES: You May Qualify For HUD’s New Interest Free Loans

The Obama administration will offer $1 billion in zero-interest loans to help homeowners who’ve lost income avoid foreclosure as part of $3 billion in additional aid targeting economically distressed areas.  The Department of Housing and Urban Development plans to make loans of as much as $50,000 for borrowers in the hardest hit areas to make mortgage, tax and insurance payments for as long as two years through the HUD Emergency Homeowners Loan Program.  This new program will complement Treasury’s Hardest Hit Fund (announced in Feb. 2010) by providing assistance to homeowners in hard hit local areas that may not be included in the hardest hit target states as listed below. Those areas are still being determined.