Florida Housing Help Financial Action Team

Are you struggling to pay your mortgage?

HOPE for Homeowners Works to Keep Families in Their Homes

Some homeowners who are struggling to pay their mortgages may be eligible for assistance through HOPE for Homeowners, a program established with the Federal Housing Administration (FHA). With the goal of providing sustainable, affordable homeownership, HOPE for Homeowners offers eligible borrowers the opportunity to refinance their mortgage into FHA-insured mortgages they can afford.

The toll-free number is 888-995-HOPE (4673).

The voluntary program, which began October 1, 2008, and runs through September 30, 2011, will only offer 30-year fixed rate mortgages, meaning the borrower’s last payment will be the same as the first. To avoid what would likely be a more costly foreclosure, participating lenders must write down the existing mortgage to 90 percent of the new appraised home value.

As the program is based on a family’s long-term ability to repay the mortgage, owner-occupants must:

  • Have a mortgage that originated on or before January 1, 2008;
  • Not be able to afford the current loan;
  • Have made a minimum of six full payments on the existing first mortgage, with no mortgage payments missed intentionally;
  • Not own a second home;
  • Have a mortgage debt-to-income of at least 31 percent;
  • Have not knowingly or willfully provide false information to obtain the existing mortgage and have not been convicted of fraud in the last 10 years;
  • Follow FHA's long-standing and strict policy of fully documented income and employment; and
  • Agree to share both the equity created at the beginning of their new HOPE for Homeowners mortgage and any future appreciation in the value of their home.

Additionally, existing subordinate lenders must agree to release the homeowners’ outstanding mortgage liens.

If you are at risk of losing your home to foreclosure and believe you may qualify for HOPE for Homeowners, visit the U.S. Department of Housing and Urban Development Web site for additional information: www.hud.gov.

For additional links/resources, visit the Florida Housing Finance Corporation Web site: www.floridahousing.org.