Affordable Housing and Tax Credit Developments NationallyThe U.S. Department of Housing and Urban Development (HUD) Provides Mortgage Payment Relief to Eligible Homeowners with the Emergency Homeowners’ Loan Program (EHLP)

June 21, 2011by George Danneman

The Emergency Homeowners’ Loan Program (EHLP) will provide mortgage relief to homeowners that have been directly influenced by unfavorable economic conditions.  Congress provided $1 billion to the U.S. Department of Housing and Urban Development (HUD) to implement the program as part of the Dodd-Frank Wallstreet Reform and Consumer Protection Act.  Eligible homeowners that have experienced a drop in income of at least 15% directly resulting from involuntary unemployment due to adverse economic conditions or a medical emergency will receive funding from the Emergency Homeowners’ Loan Program (EHLP).  The requirements for eligibility as listed by the U.S. Department of Housing and Urban Development (HUD) include:

  • Income Limit: Applicant has a total household income equal to, or less than, the greater of either $75,000 or 120 percent of the Area Median Income (AMI) for a household size of four (4) persons previous to loss of income resulting from involuntary unemployment, underemployment, and/or medical emergency/serious injury.
  • Delinquency: Applicant must be at least three months delinquent on mortgage payments, as signified by notification by their lender/servicer.
  • Likelihood of Foreclosure: Applicant must have received notification of their lender’s/servicer’s intention to foreclose on their mortgage as a result of the delinquency, and must also certify to the likelihood that their mortgage will be foreclosed upon.
  • Ability to Resume Payment: Applicant can be determined to have a reasonable likelihood of being able to resume repayment of the first mortgage obligations within 2 years, and meet other housing expenses and debt obligations when the household income rises above 85% of the previous level.
  • Principal Residence: Applicant must reside in the mortgaged property as their principal residence, both at time of application and for the duration of the program loan period. The mortgaged property must also be a single family residence (1 to 4 unit structure or condominium unit).

The Emergency Homeowners’ Loan Program (EHLP) will provide assistance to Puerto Rico and the following 32 states not funded by the Treasury’s Innovation Fund for Hardest Hit Housing Market program:

  • Alaska
  • Arkansas
  • Colorado
  • Connecticut
  • Delaware
  • Hawaii
  • Idaho
  • Iowa
  • Kansas
  • Louisiana
  • Maine
  • Maryland
  • Massachusetts
  • Minnesota
  • Missouri
  • Montana
  • Nebraska
  • New Hampshire
  • New Mexico
  • New York
  • North Dakota
  • Oklahoma
  • Pennsylvania
  • Puerto Rico
  • South Dakota
  • Texas
  • Utah
  • Vermont
  • Virginia
  • Washington
  • West Virginia
  • Wisconsin
  • Wyoming

. The deadline for homeowners to apply for the program is July 22, 2011.

Click here for information on how to apply for the program.  You can also call the toll-free EHLP hotline, 855-346-3345, or e-mail your questions to

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