New Funding Means $300 Million for Foreclosure Prevention Initiatives in New Jersey
TRENTON, N.J. – October 13, 2010 – (RealEstateRama) — The Christie Administration announced today that New Jersey will receive an additional $188 million in federal funding for anti-foreclosure assistance to help struggling homeowners. The additional funding means that $300 million is now available for homeowners facing foreclosure.
The allocation will be distributed to the New Jersey Housing and Mortgage Finance Agency (HMFA) through the Hardest-Hit Fund, a federal foreclosure-prevention initiative. The HMFA has designated this funding for the New Jersey Homekeeper Program, which will launch in January 2011. The program is designed to assist unemployed and underemployed homeowners make their monthly mortgage payments for up to 24 months.
“We’re pleased the U.S. Treasury Department has expanded the Hardest-Hit Fund initiative, which will serve as a gateway toward stabilizing New Jersey’s housing market,” said Department of Community Affairs (DCA) Commissioner Lori Grifa and New Jersey Housing and Mortgage Finance Agency Board Chairperson. “With this additional federal support, New Jersey homeowners hardest hit by economic realities will be able to make their mortgage payments and remain in their homes.”
Last month, Governor Christie announced New Jersey would be receiving $112 million in federal Hardest-Hit Fund support for foreclosure assistance initiatives. Since the beginning of the economic downturn, foreclosures have skyrocketed nearly 200 percent in the Garden State. To date, one in every 450 homes have received a foreclosure filing in New Jersey.
“Helping families fight foreclosure is a critical part of our plan to strengthen New Jersey’s communities and our economy,” said HMFA Executive Director Anthony L. Marchetta. “This award will enable the Agency to provide vital resources to New Jersey homeowners who are struggling to make their mortgage payments or who are at risk of losing their home.”
The HMFA, an affiliate of the DCA, was created by the New Jersey State Legislature in 1983 to provide a strong, unified advocate for the production and financing of homeownership and rental housing that is affordable to lower income residents of the State of New Jersey. As part of its mission, the HMFA provides a variety of fixed interest rate mortgages and down payment and closing cost assistance programs to assist homebuyers and homeowners. For information on HMFA’s existing foreclosure programs, as well as all other HMFA programs, log on to www.nj-hmfa.com.
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