General Eligibility

Household Income – $77,560 or less (including all occupants 18 years & older)

Mortgage Balance – $258,690 or less

Occupancy – Must be primary residence

Property – Single-family, attached or detached, and manufactured housing that is attached to real property

Location – Property must be located in the state of Alabama.

Mortgage Payment Assistance Program

The Mortgage Payment Assistance program is available to eligible homeowners who have experienced an involuntary job loss and are receiving unemployment compensation benefits or have experienced a substantial reduction in household income. If you are applying as an underemployed borrower, your household must demonstrate a financial hardship resulting in a 25% or greater reduction in total household income and your house payment must exceed 31% of your total household income. 

HHA will provide monthly mortgage payments including principal, interest and escrow expenses.

To help delinquent borrowers, HHA will pay the mortgage servicer to bring the mortgage current, not to exceed $12,500. Homeowners can not have a past due balance that exceeds $12,500.

The maximum assistance per household is $25,000.

Loan Modification Assistance

The Loan Modification Assistance Program will provide funds to assist financially distressed borrowers in achieving modification of their home loans.

HHA will provide the assistance as a one-time distribution of funds to fill a financial gap that limits a homeowner's eligibility to qualify for a loan modification. Funds may be used to reduce the outstanding principal balance, pay delinquent escrow or past due payments. To use the program, the mortgage servicer must approve the homeowner for the loan modification. 

The loan modification must result in a mortgage payment (including principal, interest, taxes, and insurance) of no more than 31% of the homeowner's income.

The program is designed to work with both HAMP and non-HAMP modifications.

The maximum assistance per household is $30,000.

Short Sale Assistance

The Short Sale Assistance Program assists financially distressed homeowners with the sale of their primary residence.

The program is for homeowners who can no longer sustain their monthly mortgage obligation due to a hardship such as unemployment, underemployment, divorce, death or disability.

The mortgage servicer must approve the homeowner for a short sale. The homeowner must provide information documenting income, short sale approval, executed sales contract, the value of the property, and payoff statement(s).

Participating servicers must agree to accept a minimum loss of $1,000 on the first mortgage loan.

HHA's Short Sale Assistance Program will cover closing costs and any remaining principal amount—up to 10% of the sales price, not to exceed $30,000.