of U.S. Department of Housing and Urban Development (HUD) Friday Announced The new disaster relief effort in Hawaii is targeting the island of Kauai, which was hit by severe storms, floods and landslides in April.
On June 17, President Joe Biden A presidential decree was issued He authorized a disaster declaration for the state, directing “federal assistance to supplement state and local recovery efforts in areas affected by the severe storms, floods, and landslides” that occurred between April 11 and 14.
“Federal funds will be made available to the state government, eligible local governments, and certain private nonprofit organizations on a cost-sharing basis for emergency operations and repairs and replacements of facilities damaged by severe storms, flooding, and landslides in Kauai County,” Biden said in the order. “Federal funds will also be provided on a cost-sharing basis for disaster mitigation measures throughout the state.”
HUD is immediately implementing federal disaster assistance to Kauai County’s housing program, which includes a “90-day moratorium on foreclosures on housing development authority-insured mortgage loans.” Federal Housing Administration (FHA) and foreclosures on mortgage loans to Native American borrowers insured under the Section 184 Indian Home Loan Guarantee Program.”
In addition to this relief, an automatic 90-day extension will be granted to borrowers in the FHA’s Home Equity Conversion Loan (HECM) program (also known as the Federal Reverse Mortgage Program) effective from the disaster declaration date.
HUD encourages anyone affected by these disasters to immediately contact their loan servicing company for assistance, and encourages both conventional and non-government mortgage holders to find out if they are eligible for assistance.
HUD has been focusing on disaster relief in Hawaii since the wildfires that ravaged Maui in the summer of 2023. The wildfires devastated and destroyed much of the town of Lahaina, with 101 confirmed deaths as of February 2024, though this figure has been revised slightly downward from the days following the wildfires. Two people remain missing, and two-thirds of the victims were over 60 years old, according to HUD. Associated Press report.
Last month, the FHA extended the foreclosure moratorium on Maui until Aug. 4, 2024 as reconstruction and recovery efforts continue.
