The FHA and HUD have issued a press release announcing relief for victims of recent flooding in Alaska. According to HUDNo.13-100, released Thursday June 27, 2013, “U.S. Housing and Urban Development Secretary Shaun Donovan today announced HUD will speed federal disaster assistance to the State of Alaska and provide support to homeowners and low-income renters forced from their homes due to recent flooding.”
This assistance came after the President made an announcement declaring parts of Alaska affected by the flooding to be federal disaster areas. According to the press release, “President Obama issued a disaster declaration for Alaska Gateway Regional Educational Attendance Area, Copper River Regional Educational Attendance Area, Lower Yukon Regional Educational Attendance Area, Yukon Flats Regional Educational Attendance Area and Yukon Koyukuk Regional Educational Attendance Area.”
The federal disaster zone declaration allows HUD to offer foreclosure relief and other assistance to those living in the affected areas. “Families who may have been forced from their homes need to know that help is available to begin the rebuilding process,” HUD Secretary Shaun Donovan was quoted saying. “Whether it’s foreclosure relief for FHA-insured families or helping these counties to recover, HUD stands ready to help in any way we can.”
What kind of assistance is available for FHA borrowers in these areas? According to the FHA official site, there are a variety of options, including a 90-day moratorium on foreclosures and forbearance on foreclosures of FHA-insured home mortgages. There is are also options availabe under the FHA 203(h) program, which “provides FHA insurance to disaster victims who have lost their homes and are facing the daunting task of rebuilding or buying another home. Borrowers from participating FHA-approved lenders are eligible for 100 percent financing, including closing costs” according to the FHA/HUD official site.
There is also help available through the HUD Section 203(k) loan program, which “enables those who have lost their homes to finance the purchase or refinance of a house along with its repair through a single mortgage. It also allows homeowners who have damaged houses to finance the rehabilitation of their existing single-family home”.
If you need assistance with these programs, contact your lender immediately or call the FHA at 1-800 CALL FHA.
Do you have questions about FHA home loans or refinance loans? Ask us in the comments section.