The ongoing economic disruption caused by the COVID-19 pandemic continues to threaten the ability of otherwise responsible homeowners to pay their mortgages and make other critical payments on time. The moratorium on foreclosures expired in July 2021, yet 1.45M homeowners are still seriously delinquent on their mortgages as Americans struggle to cover their associated ownership expenses (e.g. primary and secondary mortgages, Homeowner Association fees, non-escrow taxes and insurance, etc.). Meanwhile, more than 10 million Americans are behind on rent—that’s 14% of all renters.
To keep families in their homes, the Treasury extended the deadline to August 20, 2021 for states to submit fund requests for the Homeowner Assistance Fund (HAF). Totaling $10 billion in relief, HAF is one part of the American Rescue Plan Act (ARPA). Optimistically, the ARPA funds could pay for as much as 30% of the increase in missing mortgage payments since the onset of the pandemic.
With loan workouts now underway, mortgage services are eager to distribute this much-needed relief and help homeowners avoid foreclosure. How quickly and fairly the money gets distributed to residents in need, however, depends on how states act now.
Unqork has created a robust end-to-end solution to help agencies navigate the complexity of administering HAF and ERAP resources. Our configurable solution empowers agencies to rapidly deploy a customized, fully compliant platform with intuitive stakeholder experiences that drive automated workflows. Complex, typically manual administrative tasks can now be processed at scale, such as conforming loan checks, confirming household income and AMI thresholds, and validating homeowner identity and proof of ownership. Using the Hardest Hit Fund (HHF) framework, integration with the Common Data File (CDF) can automate exchanges with primary mortgage providers from applicant validation to payments.
Unqork is helping more than a dozen jurisdictions administer hundreds of millions of federal rental aid. Now, we’re tapping the power of our industry-first no-code enterprise application platform to help states deliver much-needed relief to residents, enabled by the following Unqork Housing Assistance features.