KeepYourHomeCalifornia | Newsletter

Expansion to Principal Reduction Program will allow more struggling homeowners to qualify

Keep Your Home California recently expanded the Principal Reduction Program, opening the door for more financially distressed low and moderate income homeowners to receive as much as $100,000 in free mortgage assistance.


Now, a loan-to-value ratio of greater than 140 percent is recognized as one of the qualifying financial hardships that will enable homeowners to apply for the Principal Reduction Program.


"In areas that are still severely depressed, there is a heightened chance that those homes will end up in foreclosure. These changes are intended to level the playing field a little bit for homeowners in that kind of distress," said Claudia Cappio, California Housing Finance Agency Executive Director.


Read more in our press release.

More Program Updates
In addition to the Principal Reduction Program expansion, other Keep Your Home California program changes were approved by the US Treasury. These changes will make it easier than ever for homeowners to qualify for assistance. A quick summary:
  • New uses for Principal Reduction Program funds -- PRP funds can now be used to pay down or eliminate the non-interest bearing forbearance that a servicer provided through a previous modification.
  • Unemployment Mortgage Assistance (UMA) available after EDD expiration - Homeowners who are still jobless within 30 days after their EDD benefits have lapsed or expired can still qualify for UMA assistance. As long as a homeowner can document they received EDD benefits within the last 30 days, they can be considered for the UMA program.  Previously, program guidelines required homeowners to be actively receiving EDD benefits at the time of application.
  • EDD benefits not considered income for UMA - When calculating an unemployed homeowner's income level for the UMA program, the benefit assistance received from EDD will not be included as part of the household income.
  • Notice of Defaults (NOD's) no longer trigger automatic ineligibility for UMA applicants - Homeowners who received NOD's from their servicer within the previous 60 days can now qualify for UMA assistance.  Previously, once the NOD was filed against the property, the homeowners were ineligible for UMA.  If it has been more than 60 days since a homeowner received the NOD, they will still be ineligible for UMA. 
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Welcome to Keep Your Home California
Welcome to Keep Your Home California
(as of Nov. 18, 2013)

Homeowners Assisted
Total Amount Distributed
Unemployment Mortgage Assistance
Principal Reduction Program
Mortgage Reinstatement Assistance Program
Transition Assistance Program
Total Program
Funds Allocated
Recent Blog Post:
EDD helps Keep Your Home California connect with homeowners

Everyone benefits from a great friend.


Adventurer Lewis had Clark. Lucy had Ethel on "I Love Lucy." Comic book superhero Batman had Robin (well, until Batman hit the big screen).


And Keep Your Home California has the Employment Development Department. Read More 

Success Story: Deidra L.

Keep Your Home California delivers for former postal service employee, eliminating $100,000 from her mortgage


Homeowner Deidra L. admits she was a big skeptic of Keep Your Home California, a free mortgage-assistance program that offers as much as $100,000 in principal reduction. Read More 
Monthly Question & Answer

A: The required documentation varies by program. Our representatives will explain which documents are required based on program eligibility. Depending on the program, the following are examples of documentation that are or may be required: pay stubs, EDD payment stub or Bank of America summary, bank statements, Hardship Affidavit, 3rd Party Disclosure, tax forms from previous years, a copy of an investor approved short sale or deed-in-lieu documentation. Keep Your Home California representatives will help you with simple and clear guidance on the document requirements of each program.  


See more frequently asked questions

Dollar Assistance Provided to Date by County  
(as of Nov. 18, 2013)

To see all Servicer Scorecards, please visit the Participating Servicers webpage.
November 23, 2013
9:00am - 2:00pm
We Connect Resource Fair
Thermal, CA
December 10-12, 2013
8:00am - 8:00pm
Help for Homeowners -
Free Online Event

Open to all residents of the Central Valley
December 14, 2013
10:00am - 3:00pm
Mortgage Clinic
Emeryville, CA

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