Bank House Foreclosures Relief in Georgia

by Donald Hanz on States

Shaun Donovan, secretary of the U.S Housing and Urban Development (HUD), has announced that his agency will speed up the release of federal disaster assistance to people in Georgia who lost their properties to bank house foreclosures.

The federal disaster assistance program will also provide support to low income renters and homeowners who lost their houses following severe flood and storm.

Seven counties in Georgia will benefit from the federal disaster assistance program, including Chereokee, Carroll, Cobb, Chattooga, Stephens and Paulding. These counties were covered by President Barack Obama’s disaster declaration which allows the HUD to provide foreclosure assistance and relief to eligible families living in these areas.

Donovan said that families who have been forced from their houses due to bank house foreclosures or natural disaster should know that help from the HUD is available to start the rebuilding process. He added that the agency is ready to help in any way it can, whether it is for foreclosure relief for Federal Housing Administration (FHA)-insured families or helping the counties recover.

Under the HUD’s HOME and Community Development Block Grant (CDBG), Georgia will be offered the capability to re-allocate federal resources for disaster relief. The programs will help the state redirect federal resources to address immediate needs, such as housing for flood victims. HUD is working with state and county officials to develop ways to streamline its programs to expedite repairs and replacements of damaged houses.

An immediate foreclosure relief is also provided through a 3-month foreclosure moratorium and forbearance of home mortgages insured by the FHA.

Furthermore, the HUD program also allows it to provide FHA insurance to families who lost their homes due to disasters. The insurance will support families in rebuilding their houses or purchasing another house. Borrowers of lenders approved by the FHA are eligible to receive full financing under the program.

A loan guarantee assistance is also provided under the HUD’s Section 108 program. Federally guaranteed loans will be provided to help Georgia and its cities and towns undergo housing rehabilitation, public infrastructure repair and economic development.

The HUD programs are much needed in Georgia as the state experience a 36 percent rise in foreclosure rates last month. The total filings for bank house foreclosures reach 11,947 in August.

Click here and find a lot of Georgia bank foreclosures.