Need help with your California house payments due to COVID?
Grants from California’s mortgage relief fund are now available to cover delinquent property taxes and defaults on second mortgages. The expanded eligibility includes those who have previously received grants.
Almost $700 million remains in the fund, created in 2021, to preserve homeownership from the ravages of the pandemic.
Help from the fund comes as a grant, not a loan. That is, there is no repayment requirement.
What you can use the money for
In addition to curing defaults on first mortgages that are attributable to the pandemic, grants can now pay down delinquent property taxes, second mortgages, and even reverse mortgages.
Significantly, the money can now be applied to payments initially deferred by the mortgage lender.
Who is eligible for house payment grants
While the program is focused on low and middle income homeowners, the income limits are generous: those having a household income of 150% of the Area Median Income are eligible. For example, a San Mateo County household of 4 can apply if their income is less than $249,000.
Homeowners who previously received a grant can reapply for additional help, capped at $80,000 of total grants.
More information on eligibility can be found here. The site offers help in six languages.
Who manages the relief fund
California Mortgage Relief is funded by the American Rescue Plan, passed by Congress in 2021. It’s overseen by the Treasury Department who has delegated administration of the funds to the states. CalHFA Homeowner Relief Corporation is the state agency in charge.