Sign in Subscribe
Floods

Immediate Relief for Over 900 FHA Mortgages Affected by Texas Storms

Strategic Insights

— 1 min read

As severe storms, straight-line winds, and flooding continue to ravage Kerr County, Texas, the U.S. Department of Housing and Urban Development (HUD) has announced a 90-day foreclosure moratorium for Federal Housing Administration (FHA)-insured single-family mortgages in the impacted areas. This move aims to provide immediate relief to over 900 affected homeowners, who are now dealing with severe property damage and displacement. HUD Secretary Scott Turner expressed his condolences and commitment to supporting the affected community, stating, "Our hearts break as we witness the catastrophe unfolding in Texas... HUD will continue to provide resources and support as we pray for the Texas Hill Country community."

Key Takeaways:

  • The 90-day foreclosure moratorium applies to over 900 FHA-insured single-family mortgages in Kerr County, Texas, affected by severe storms and flooding.
  • The moratorium prohibits mortgage servicers from initiating or completing foreclosure actions on FHA-insured single-family forward or Home Equity Conversion mortgages in the designated area.
  • Borrowers in need of assistance can contact their mortgage servicer, the FHA Resource Center (1-800-CALL-FHA), or a HUD-approved housing counselor for guidance on available options.
  • First-time borrowers may be eligible for FHA's Section 203(h) loan program, providing 100 percent financing for home reconstruction or purchase.
  • Borrowers seeking to purchase and/or repair a damaged home can explore FHA's Section 203(k) loan program, allowing for a single mortgage to cover purchase, repair, or renovation costs.

Statistics:

  • Over 900 FHA-insured single-family mortgages are affected by severe storms and flooding in Kerr County, Texas.
  • The foreclosure moratorium applies to a Presidentially Declared Major Disaster Area (PDMDA) designated by the President's disaster declaration date.
  • As of July 2, 2023, more than 100 Americans have lost their lives in the disaster.

Sources:

  • "HUD Announces 90-Day Foreclosure Moratorium for FHA Mortgages in Texas" (U.S. Department of Housing and Urban Development, [no date])
  • U.S. Department of Housing and Urban Development ( HUD)

Read more