New Program Looks To Help Reverse Mortgage Borrowers At Risk Of Foreclosure
One Washington, D.C. organization is looking to extend a helping hand to reverse mortgage borrowers who are facing foreclosure risk according to a new report from Reverse Mortgage Daily.
"The Reverse Mortgage Insurance & Tax Payment Program (ReMIT), launched this week by the District of Columbia Housing Finance Agency (DCHFA), is a $500,000 fund that will provide up to $25,000 in one-time financial assistance to qualified homeowners in the District of Columbia," according to RMD.
"Those qualifying borrowers must be at the risk of foreclosure due to delinquent property taxes, homeowner’s insurance, and qualifying property related expenses."
The program began following complaints from reverse mortgage borrowers and families, who were falling behind on property tax payments. Yolanda McCutchen, the director of public relations for DCHFA said that because home values have grown, which increased property taxes, folks with a fixed income struggled to keep up, according to the report.
"According to a 2018 report on taxes in the District of Columbia by the D.C. Fiscal Policy Institute, 'an assessment increase cap was designed to protect homeowners from rising property tax bills as either a result of [a] transition to annual assessments in the early 2000s, or a result of rising home values,'" according to RMD.
"Regional property taxes in the District are generally lower than other surrounding areas, but the rise in home values have correlated to a steady rise in residential property taxes."
After the Housing Committee of the Council of the District of Columbia received the reports, they began an active effort to help struggling families keep their home.
To learn more about ReMIT and why some families are struggling with property tax payments, click on the image above.