Announcements, Community Development, State News

CT To Use Mortgage Foreclosure Settlement Funds for Homeowners

 

On Monday, May 21, 2012 Governor Malloy and Attorney George Jepson announced that Connecticut’s $28.1 million allocation of the $25 billion mortgage foreclosure settlement will go towards assisting distressed homeowners.

Governor Malloy said, ““We know that many homeowners are still struggling, and until we find a way to bring stability to the housing market, there will continue to be a drag on our recovery. This funding will help assist a critical component of our overall economic goal, to promote economic growth that is sustainable and benefits a majority of our residents.”

$21 million will go towards the Emergency Mortgage Assistance Program administered by the Connecticut Housing Finance Authority and pay for debt service associated with state bonds previously issued for the program. The rest of the money will go towards adding temporary positions to the Department of Banking’s Foreclosure Hotline, the Connecticut Fair Housing Center, the Office of the Attorney General, and the Department of Economic and Community Development. The additional manpower will allow state agencies and nonprofits to better assist struggling homeowners avoid foreclosure and stay in their homes.

Click here for the press release. 

 
 

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