Posted on: 25th Jun, 2010 03:18 am
Obama government has announced $1.5 billion assistance to struggling borrowers and unemployed homeowners in 5 states where property values have reduced drastically. These 5 states include Arizona, California, Florida, Michigan and Nevada. The high unemployment rates and severe decline in property prices have created challenges for homeowners residing in these states. Once the borrowers receive this assistance from the government, it will make a real difference in their lives as the aid will help them save their properties from imminent foreclosures. The state officials are planning to implement this program from the next month onwards.
This is an excellent effort on the part of the Obama government to help underwater and unemployed borrowers.
Apart from these 5 states, other states may also qualify for this assistance. Those states where the property prices have declined by more than 20% from their peak will be considered eligible to participate in this program. The state and local housing-finance agencies can seek this help by applying to the Treasury Department. The Treasury will evaluate and let the states know whether or not they would qualify for this program. The funds for this program will come from the capital which has been set aside for the housing market from the $700 billion Troubled Asset Relief Program.
Apart from these 5 states, other states may also qualify for this assistance. Those states where the property prices have declined by more than 20% from their peak will be considered eligible to participate in this program. The state and local housing-finance agencies can seek this help by applying to the Treasury Department. The Treasury will evaluate and let the states know whether or not they would qualify for this program. The funds for this program will come from the capital which has been set aside for the housing market from the $700 billion Troubled Asset Relief Program.