Bill > H831

This bill establishes the Mass Emergency Homeowner Assistance Program to help Massachusetts residents who are financially unable to make their mortgage payments. The program, administered by the Massachusetts Housing Finance Agency (MHFA), will provide financial assistance to eligible homeowners facing foreclosure. To qualify, homeowners must demonstrate financial hardship beyond their control, have a principal residence in Massachusetts, and meet specific income and credit history requirements. The program aims to prevent foreclosures by making mortgage payments on behalf of eligible borrowers for up to 36 months, with the goal of allowing them to resume full payments afterward. The bill also outlines conditions for creditors to avoid foreclosure, requiring them to consider a borrower's ability to pay, the financial implications of modification versus foreclosure, and the interests of investors. Importantly, financial institutions will not be authorized to approve assistance under this program, and the MHFA will directly manage the application and approval process.