As many of you may already be aware, the Vermont Housing Finance Agency launched the Vermont COVID Emergency Mortgage Assistance Program this week. The program is intended to help low-income homeowners who have fallen behind on their mortgage and are facing economic hardship brought on by the COVID-19 pandemic. The program will provide up to three monthly mortgage payments directly to the servicer of the mortgage with a goal of preventing future foreclosure. Administered by VHFA with $5 million of the funding provided to Vermont through the federal CARES Act, the program is available to any homeowner who meets the eligibility criteria, and is not just for VHFA borrowers.
Mortgages eligible for assistance through the new program are not limited to those made through VHFA’s standard programs. Information and application materials are available on VHFA’s website at www.vhfa.org/map. A Mortgage Assistance Program information hotline is open 9 am – 4 pm, Monday through Friday, at 1-800-889-2047.
The Mortgage Assistance Program was created by the Vermont Legislature with the passage of H.966, an act relating to COVID-19 funding and assistance for broadband, connectivity, housing and economic relief. In addition to the Mortgage Assistance Program, the act dedicated funding for a variety of legal and counseling services, housing and facilities, eviction protection, rental assistance and other housing supports for Vermonters facing economic hardship totaling $62 million. Governor Scott signed the bill on July 2, 2020.
VHFA will accept applications until August 31, 2020. Due to the limited funding available, VHFA will prioritize those with the lowest income and that are most at risk of foreclosure. There is no assurance that any individual application will be funded. VHFA will review and verify applications between September 1 and September 30, and have all awards issued by October 2. If funds remain available after the initial round of eligible applications are funded, VHFA will open up a separate round of funding.
This program is for persons who are behind on their home mortgages. Renter and mobile home park residents can contact the Vermont State Housing Authority by phone at 802-828-2040 or 802-828-1650 or 802-828-5596 to discuss obtaining help with rental payments.
