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Homeowner Assistance Fund Successful In Keeping Families in Their Homes

The homeowner assistance fund program has been successful in multiple states and territories in improving housing stability.

March 19, 2024

Washington– Homeowner assistance fund data was released by the U.S. Department of Treasury on December 31, 2023. The data released revealed that the American Rescue Plan (ARP) program has distributed $6.6 Billion to more than 500,000 homeowners at risk of foreclosure so that they can stay in their homes and improve their housing stability. The recipients of the homeowner assistance fund expanded 77% of their award funding including 22 states and 2 U.S. Territories having used all of the available funding by the end of 2023.

Deputy Secretary of the Department of Treasury Wally Adeyemo said, “The Biden-Harris Administration helped to prevent foreclosures and increased housing stability nationwide by keeping half a million families in their homes. The Treasury Department is working to ensure limited remaining American Rescue Plan funds are delivered to homeowners most in need.”

It is the speed and strength of the Biden-Harris administration’s economic agenda that prevented the worst results from the COVID-19 shock and did the faster economic recovery. The treasury department encouraged communities to address the needs of the housing supply by making innovative use of ARP funds like the ones in the HAF program during the recovery.

These efforts complimented the administration’s efforts to enable the families to stay within their homes. The Treasury Department has not only released the data but is also releasing a blog on how HAF’s success is due to the lessons learned and the impact it had on the housing market. Compared to the earlier federal programs, the HAF program was designed to reach homeowners in need and provide them the much-needed assistance by encouraging streamlined communication and innovative approaches.

There are plenty of communities who have benefitted from the HAF program such as getting resources for housing stability. Nearly $800 Million is spent at present on non-mortgage assistance for states, tribal governments, and territories. The HAF program has also given the resources to the recipients to give homeowners the much-needed stability.

Some of the states that have had huge success in deploying HAF assistance to prevent foreclosures, reach vulnerable communities, and keep families in homes include:

South Carolina- South Carolina used the zip code to figure out about the low-income families having high housing instability which in turn allowed it to serve low-income homeowners in the state, especially in the rural areas.

Indiana- The next state that was successful in providing housing stability is Indiana. Indiana asked the applicants receiving federal benefits such as SNAP, TANF, or WIC to provide a copy of their approval letter from one of the programs to verify their income eligibility and simplify documentation for the applicants.

New Hampshire- Homeowners were struggling to find mortgage relief via refinancing or loss mitigation due to high-interest rates. Consequently, New Hampshire removed a requirement where applicants had to go through the loss mitigation process before applying for HAF assistance and provide homeowners with the assistance they were looking for.

Out of several ARP programs in place, it is the HAF program that has helped state and tribal governments improve housing stability across the country. The HAF program is also the key component of the Biden-Harris administration to help families across the country stay in their homes.

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The content provided in this article draws inspiration and includes quotes from various reputable sources, including news articles, government data, and interviews. Affordable Housing 411 strives to ensure accuracy and credibility, but the information presented may be based on some external sources. We encourage readers to refer to the referenced materials for more in-depth insights and verification.

U.S. Department of Treasury. “New Treasury Department Data Show Homeowner Assistance Fund Kept More Than 500,000 Families In Their Homes”. U.S. Department of Treasury, March 19, 2024,
New Treasury Department Data Show Homeowner Assistance Fund Kept More Than 500,000 Families In Their Homes | U.S. Department of the Treasury

Last Updated: September 20, 2021