FAQs
The California Mortgage Relief Program is provided as a free service by the CalHFA Homeowner Relief Corporation. There is no cost to apply, and you are not required to pay any fees, for any reason. The financial help you receive never has to be paid back.
Is the home equity stimulus a real thing? ›
The financial support is provided as a one-time grant that qualified homeowners will not have to repay, so that they can get caught up and have a fresh start. Funding for the program is allocated through President Biden's American Rescue Plan Act's Homeowner Assistance Fund.
How to avoid reverse mortgage scams? ›
Ignore any unsolicited advertisem*nts, phone calls and emails. Sign up for reverse mortgage counseling even if it's not required. If you think someone is trying to scam you, report the fraud to HUD's Office of Inspector General hotline at (800) 347-3735.
How long does the California mortgage relief program take? ›
Completed applications with all required documentation may take several weeks from the date of application submission until a qualified applicant receives the approved funding. The California Mortgage Relief Program is committed to helping homeowners as quickly as possible.
Does mortgage relief affect credit score? ›
If your lender grants you relief from financial hardship in the form of loan forbearance, your credit scores should be unaffected as long as you stick to the agreed-upon schedule for resuming regular payments and making up payments you missed during the forbearance period.
Who qualifies for homeowner stimulus in California? ›
Homeowner must currently own and occupy the property in California as their primary residence. Property may include up to 4 units on site (House, condo, permanently affixed manufactured home, ADU, duplex, four-plex).
Is there a US mortgage stimulus? ›
Although there's no current mortgage stimulus from Congress, there is federal help available for homeowners. It's called the Homeowner Assistance Fund.
Do I pay back home equity? ›
Home equity is the portion of your home's value that you don't have to pay back to a lender. If you take the amount your home is worth and subtract what you still owe on your mortgage or mortgages, the result is your home equity.
Is home equity real money? ›
Home equity is the amount of your home that you actually own. Specifically, equity is the difference between what your home is worth and what you owe your lender. As you make payments on your mortgage, you reduce your principal – the balance of your loan – and you build equity.
Can I lose my home with a reverse mortgage? ›
Just like a traditional mortgage, with a HECM you are borrowing money and using your home as security for the loan. You must continue to pay for property taxes, homeowner's insurance, and make repairs needed to maintain your home or the lender can foreclose on the home.
A reverse mortgage isn't free money: The borrowing costs can be high, and you'll still need to pay for homeowners insurance and property taxes. Reverse mortgages can also complicate life for your heirs, especially if they don't want the home or the home's value isn't enough to cover what's owed.
Are reverse mortgages a sham? ›
Although reverse mortgages are a viable financial product, there have been scams involving financial advisors or contractors who suggest a reverse mortgage only to take the money or charge exorbitant fees that use up the funds.
What is CA payment relief program? ›
California Mortgage Relief
Provides financial resources to eligible homeowners to eliminate past-due mortgage payments. Multiple criteria apply, including: • Household income of all household members over the age of 18 is at or below 100% of the Area Median Income.
Is CA mortgage relief taxable? ›
The assistance provided through the California Mortgage Relief Program is not a loan and does not need to be paid back. Homeowners who receive these one-time grants should talk with a tax professional about any impact this may have on their income taxes.
How long does it take to get approved for CalHFA? ›
A CalHFA first mortgage generally has a turnaround time at CalHFA of 1-2 business days for compliance review. CalHFA loans have straightforward paperwork, quick processing and dedicated customer service. Many of CalHFA's preferred loan officers have closed CalHFA loans within 30 days. 5.
What is the California program to help prospective homeowners with down payment? ›
What is the California Dream For All program, and how does it work? Under the California Dream For All program, the state will put down up to 20% of the cost of the home, or up to $150,000. That money does have to be repaid, just not right away. It gets repaid — without interest — when you sell the home.
How long does CA rent relief take to disburse funds? ›
Funds must be remitted to your landlord within 15 days (excluding weekends and holidays) of receiving assistance. A payment of [AssistanceApproved_Total_Approved_Housing_Request] has been approved to be disbursed directly to you within 10 to 14 business days.
Do you have to pay back keep your home in California? ›
If you lease or rent your home after you receive Keep Your Home California assistance, you may be responsible to repay the benefit proceeds if you sell your home in the future.