HUD ANNOUNCES DISASTER ASSISTANCE FOR FLORIDIANS Agency quickly identifying
HUD-owned homes that can be used as temporary housingFLORIDA
- Housing and Urban Development Secretary Alphonso Jackson today announced that
he has directed all Single Family FHA-approved lenders to provide relief to families
with FHA insured mortgages affected by Hurricane Charley. The relief includes
a special 90-day moratorium on Single Family foreclosures. Jackson is also encouraging
other, non-FHA lenders to undertake actions such as mortgage modification, refinancing,
and waiver of late charges. HUD also announced it will expedite the use of federal
assistance in damaged communities and provide support to homeowners and low-income
renters who live in the 25 affected counties. "Nothing
can erase the suffering that these families are enduring in the wake of Hurricane
Charley," Jackson said. "Fortunately, we have several flexible tools
that will help speed disaster recovery efforts in the affected communities. We
stand ready to help with the rebuilding process in any way we can." Following
President Bush's federal declaration, Florida-based HUD field staff began assessing
local damage and providing staff to Disaster Field Offices set up by Federal Emergency
Management Agency. HUD's initial concern is to help meet the immediate housing
needs of those whose homes have been damaged or destroyed. HUD
will also: -
Grant Immediate Foreclosure Relief - HUD will grant a 90-day moratorium
on foreclosures and forbearance on foreclosures of Federal Housing Administration-insured
homes;
- Make
Available Single-Family Home Mortgage Insurance - HUD's Section 203(h) program
enables the FHA to insure mortgages of disaster victims who have lost their homes
and are in the process of rebuilding or buying another home. Borrowers are eligible
for 100 percent financing, and,
Make Available Programs for Damaged or Destroyed Properties - HUD's Section
203(k) loan program enables homebuyers and homeowners who have lost their homes
to finance both the purchase and/or refinancing of a house and the cost of its
rehabilitation through a single mortgage. It also allows homeowners who have damaged
houses to finance the rehabilitation of their existing single-family home. This
program encourages lenders to make mortgages available to borrowers who would
not otherwise qualify for conventional loans on affordable terms and to residents
of disadvantaged neighborhoods. Provide
Temporary Housing and Shelter - HUD will work with FEMA to identify vacant
multi-family housing, public housing units and HUD-owned homes that can be used
as temporary housing for those forced from their homes; Reprogram
and Accelerate Federal Block Grants - HUD will permit communities to redistribute
Community Development Block Grants (CDBG) and HOME funds for disaster recovery
efforts; Provide
Section 108 Loan Guarantees - HUD will permit state and local governments
participating in the CDBG program to obtain federally guaranteed loans for housing
rehabilitation, economic development and repair of public infrastructure;
HUD
also plans to provide funding to public housing authorities to rehabilitate damaged
properties after insurance proceeds have been exhausted.
For more information about these and other HUD programs designed to assist disaster
victims, visit HUD's website at www.hud.gov/disarelf.cfm.Specific
guidance for FHA-approved lenders can be found at www.hudclips.org/sub_nonhud/html/nph-brs.cgi?d=MLET&s1=04-$[no]&op1=AND&SECT1=TXTHLB&SECT5=MLET&u=../html/shortcut.htm&p=1&r=1&f=G
Floridians in search of housing assistance should call 1-800-621-3362 or view
the FEMA website at www.fema.gov/about/process/.
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