New York is the first in the nation getting the nod to launch a fund to help homeowners avert mortgage delinquency and foreclosure.

The U.S. Treasury has approved the program that will provide up to $539-million statewide to curb default and displacement. The Homeowner Assistance Fund will accept applications beginning January 3.

Tierra Mallorca via Unsplash
Tierra Mallorca via Unsplash

Eligible applicants can get financial assistance to catch up on missed house payments or reduce mortgage debt to make payments more affordable.  The plan also allows homeowners who are unemployed to get help with up to six months of future housing payments.

The application process is being made available in several languages. More information can be found at the HAF website.

To qualify, applicants must have household incomes at or below 100 percent of the Area Median Income and be at least 20 days behind on payments on their primary residence. The assistance will come as a five-year, no-interest forgivable loan and if the homeowner remains in the property for five years, the loan will be fully forgiven.

99.1 The Whale logo
Get our free mobile app

The state also has $125-million in funds for landlords whose tenants didn’t participate in the emergency assistance program or moved out without paying rent.

Governor Kathy Hochul’s office says an application is also in for another close to one million dollars for more assistance.

LOOK: Here are 25 ways you could start saving money today

These money-saving tips—from finding discounts to simple changes to your daily habits—can come in handy whether you have a specific savings goal, want to stash away cash for retirement, or just want to pinch pennies. It’s never too late to be more financially savvy. Read on to learn more about how you can start saving now. [From: 25 ways you could be saving money today]

READ ON: Here's how to apply for rent relief


More From 99.1 The Whale