April 15, 2015
Frequently we write about the availability of housing counseling for borrowers who want it. We’ve urged people to get this pre-purchase counseling by calling the FHA at their toll-free hotline (1-800 CALL FHA) to request a referral to a local HUD/FHA approved housing counselor or agency.
The FHA/HUD official site has announced $36 million in housing counseling grants in a press release, a move designed to help homeowners make informed choices when house hunting and applying for the loan. It’s also meant to help borrowers anticipate problems that could lead to mortgage loan default or foreclosure.
According to HUDNo. 15-041:
“The U.S. Department of Housing and Urban Development (HUD) today awarded more than $36 million in grants to hundreds of national, regional and local organizations to help families and individuals with their housing needs and to prevent future foreclosures. HUD’s housing counseling grants and the additional funding they help to leverage will assist more than 1.5 million households find housing, make more informed housing choices, or keep their current homes.”
“Access to knowledge and information is vital to every family’s success,” said HUD Secretary Julián Castro, who was quoted in the FHA/HUD press release. He added, “These grants will expand housing opportunities for families across our nation. The evidence is clear: housing counseling works. We look forward to working with our housing counseling partners to empower American families with the tools to prosper.”
According to HUD, approximately $34 million will directly support the housing counseling services, “provided by 29 national and regional organizations, six multi-state organizations, 20 State Housing Finance Agencies (SHFAs) and 215 local housing counseling agencies. In addition, HUD is awarding $2 million to three national organizations to train housing counselors who will receive the instruction and certification necessary to effectively assist families with their housing needs.”
National and regional agencies distribute “much of HUD’s housing counseling grant funding” to community-based organizations created to help low and middle-income families to improve housing conditions. You can learn more about talking to a HUD-approved housing counselor at the FHA/HUD official site.
Do you have questions about FHA loans? Ask us in the comments section. Your comment/question may be held for review.
Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.
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