SACRAMENTO (KCBS) – The state’s largest initiative to date to assist struggling homeowners is up and running.
The $2 billion effort called “Keep Your Home California” is funded by federal government TARP funds and is administered through the state.READ MORE: UPDATE: Woman Accused of Starting Fawn Fire Was Boiling Bear Urine to Drink
“We’re really excited to be able to roll this out,” said program manager Diane Richardson.
KCBS’ Margie Shafer Reports:
She said three programs offer mortgage assistance and one is for principal reduction.READ MORE: UPDATE: Moratoriums on Canceling Fire Insurance for California Residents Only a Temporary Fix
“For every dollar that we pay, we’re requiring banks to match, dollar for dollar, and to lower the borrower’s principal,” said Richardson.
Norma Torres, the chair of the Assembly Committee on Housing and Community Development, said dealing with bank bureaucracy has been frustrating.
“We don’t have Freddie Mac and Fannie Mae on board and it makes it very difficult to get the banks on board when these two organizations are not on board,” Torres said.
The programs are designed to help up to 100,000 struggling California homeowners.MORE NEWS: Retailers Warn Supply Chain Delays Could Wreak Havoc On Bay Area Holiday Shopping Season
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