Michigan Hardest Hit Loan Program

Michigan Hardest Hit Loan Program

MSHDAThe Michigan Homeowner Assistance Corporation was started in 2010 by the Michigan Housing Development Authority (MSHDA). They currently have four programs to help homeowners who have endured financial hardships.

Almost five million dollars has been set aside from the federal government for the State of Michigan’s Hardest Hit Loan Program.

A qualifying involuntary hardship is an unexpected event beyond the homeowner’s control that impacts the homeowner’s ability to maintain payments. Examples of acceptable hardships are; job loss, reduction of income, medical condition, death, divorce, disability,one-time critical expense, etc. Examples of unacceptable hardships are; excessive obligations, curtailment of income, abandonment of property, payment adjustments, increased living expenses, non-dependent medical expenses, etc. The listed examples are not all inclusive and should be used only as a general guide.

A Step Forward Michigan is the newest hardest hit loan program in Michigan to help you if you are in a financial hardship. The maximun amount allowed is $30,000. and can be used to pay your property taxes or mortgage if you are behind and have a financial hardship.

How the Step Forward Programs Works

1) The home must be your primary residence

2) You must live there

3) The loan is at 0% interest and you will be asked to sign a forgivable note or mortgage lien.

4) The hardest hit loans will be paid directly to your mortgage company and/or the tax assessor.

Through A Step Forward, MHA designed forgivable loan programs to help homeowners who have had a financial hardship that include:
  • Mortgage payment assistance for homeowners currently receiving unemployment compensation
  • Rescue funds for homeowners who have fallen behind in their mortgage payments due to no fault of their own and who have overcome this obstacle
  • Federal matching funds for principal reductions for homeowners who can no longer afford their mortgage payments as a result of reduced income

The application is online where you can apply if you feel this would help you get through a hard time. The phone number to call for more information is 866.946.7432

Thinking of selling your Ann Arbor home give us a call at 734-926-9797 for a complete market analysis.

 

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