The Pennsylvania Homeowner Assistance Fund (PAHAF) is a housing-related program funded by the U.S. Department of the Treasury to assist Pennsylvania homeowners facing financial hardship due to the pandemic that began after January 21, 2020 (including a hardship that started before that date and continued after that date). The program provides financial assistance to homeowners for their mortgage and other housing-related expenses, such as utilities and taxes, to address delinquency and avoid default, foreclosure, or displacement.

The PAHAF is a grant available to homeowners who are in a state of financial hardship. It offers all kinds of financial assistance, and it can be applied for by homeowners to help them through tough times. Pennsylvania was awarded more than $350 million in American Rescue Plan Act funds through the U.S. Department of the Treasury’s Homeowner Assistance Fund (HAF). Check out this website to find out more about the program and how you can apply: https://pahaf.org/

The Fund –

It is often assumed that the PAHAF is only available to homeowners who have a mortgage with a government or private lender. However, this is not the case. The fund will pay back a variety of loans and can be used for any financial perspective on a home. Applicants must be at least 30 days past due on their mortgage payments and/or 30 days past due on other housing-related expenses for which they are requesting PAHAF assistance to qualify.

You can apply for the fund if your primary residence is within the state of Pennsylvania. To qualify for the PAHAF, you must also suffer extraordinary financial hardship and be able to provide proof. Therefore, any homeowner behind on their mortgage payments should apply for aid from the fund.

How the PAHAF can help you:

Emergency financial aid –

If you are experiencing a financial hardship and cannot cover your mortgage payments or other housing-related expenses, then you should seek emergency financial aid immediately. You should call your mortgage company ASAP and ask them if they can reduce your payment. In addition to this, you should contact a non-profit housing counselor and ask about the PAHAF. The fund will be able to provide you with ways to avoid foreclosure. However, this will only be possible if the fund approves your claim immediately.

Bring your mortgage current –

If approved for the PAHAF, you will be able to bring your mortgage current. Therefore, if you cannot make any payments for two months or more and are behind on your mortgage by at least $1,500 without any outside help- the fund can have you completely caught up within weeks.

Benefits of holding on to your home –

The PAHAF will help you prevent foreclosure by paying your mortgage. Pennsylvania certified housing counselors might even be able to save your home if it’s in danger of foreclosure with help from this fund.

Foreclosure alternatives –

The easiest way to avoid foreclosure is to apply for and receive help from the Pennsylvania Housing Finance Agency (PHFA). The maximum amount of assistance for any homeowner under the PAHAF is $30,000. This is usually the best solution, and the Pennsylvania homeowner assistance fund is the easiest way to get the money you need.

Non-profits and other free services –

If you are suffering a financial hardship and need help with your mortgage, you may want to contact a non-profit credit counseling agency such as Advantage Credit Counseling Service. PHFA partner agencies can help you understand the resources available to save your home and help you apply for assistance.

Foreclosure Prevention Counseling –

If you are facing foreclosure, you should first contact the Pennsylvania Homeowner’s Assistance Fund and ask them to provide free foreclosure prevention counseling. Foreclosure Prevention Counseling will help you understand the best way to avoid foreclosure, and the Pennsylvania Homeowner Assistance Fund counselors will be able to show you how you can make monthly payments on your home.

Advantage CCS offers free Foreclosure Prevention Counseling for Pennsylvania homeowners who might be dealing with a foreclosure now or in the near future. You can check out more about this free service here: https://www.advantageccs.org/services/foreclosure-prevention-counseling/

Disclaimer: The information provided is for informational purposes only. The materials are general in nature, and are not offered as advice or guarantee, and should not be relied upon without advice from an attorney or a financial advisor. Reading the information does not constitute a legal contract, consulting, or any other relationship with Advantage Credit Counseling Service.