Florida may hold the title for the highest number of foreclosures, but the state recently turned down the chance to receive up to $250 million for foreclosure relief. The Florida Housing Finance Corporation decided not to apply for the funds, which would have provided aid to many Florida families fighting to keep their homes.
The Silver Lining
In spite of the state’s failure to request additional federal funding, it was afforded $78 million as part of the federal distribution of “Hardest Hit Funds.” These funds were allocated to all states that qualify without a required application. These funds, which by the end of the program in 2020 will total more than $1 billion, have been distributed since 2010. However, reports show that Florida is lagging behind (compared to other states) in dolling out the funds to families in need.
The issues in distributing the funds could very well stem from the high demand for them amongst Floridians. The Orlando Sentinel reports that when when the state was due to provide principal reduction programs as an initial component of the Hardest Hit program, its computers crashed from the large number of applicants. As far as the distribution of the actual funds, Florida reportedly holds the lowest rate of admission for the program, in spite of having the highest rates of foreclosure. Homeowners in Florida are also much more likely to withdraw their applications than mortgagers from other states, perhaps due to the tight restrictions.
Florida has made attempts in recent years to rectify issues in disbursing the funds, like expanding the programs which receive the money and providing resources for those in need of assistance to seek help. That said, this latest denial for further available funds demonstrates that the foreclosure problem in the Sunshine State still isn’t being afforded the needed attention.
If foreclosure is threatening your home, don’t fight the battle alone. Call a Miami foreclosure attorney at Graham Legal today to find out how you can stay in your home and get the help you need.