VIENNA, Va. – Navy FCU is among 20 major mortgage servicers that have signed with California’s Housing Finance Agency to assist families struggling to remain in their homes and avoid foreclosure through a new Keep Your Home California program.
The $2 billion program, fund by the Treasury Department’s Hardest Hit Fund, is part of a broad California effort to stabilize neighborhoods and communities while helping homeowners who are facing financial difficulties.
The programs provide: mortgage assistance of up to $3,000 per month for homeowners who are collecting unemployment benefits and are in imminent danger of defaulting on their home loans; Money to reduce the principal owed on a mortgage for a home where the homeowner is facing a serious financial hardship and owes significantly more than the home is worth; and, financial assistance to families who have decided they no longer can afford to own a home and need to transition to other housing arrangements.
The programs are limited to homeowners who meet a number of criteria, including owning and occupying the home as their primary residence, meeting income limits and facing a documented financial hardship. Each of the mortgage assistance programs requires the participation of the mortgage servicer.
The 20 servicers include six of the largest servicing companies in California: Bank of America, J.P. Morgan Chase, Wells Fargo, GMAC, CitiMortgage and EMC Mortgage, as well as Navy FCU and the California Department of Veterans Affairs, CalHFA, Chase Home Finance LLC; Community Trust; Everbank/Everhome Mortgage; Fidelity Bank; Flagstar Bank, Guild Mortgage, James B. Nutter & Company, Midland Mortgage Company, Statebridge and Vericrest.
