Obama admin OKs MI to release foreclosure relief money
LANSING, MI –
The Obama administration has approved Michigan's plan to spend $155 million to help families facing possible foreclosure on their homes.
Michigan is one of five high unemployment states that will be the first to tap into the federal Hardest Hit Fund. Michigan's plan will help 11,000 families living on unemployment with up to half their mortgage payment. Families that have fallen behind on their payments because of layoffs or illness will also be eligible for help, as well as households that can no longer afford to pay their loans because of a drop in income.
Michigan's plan had to be approved by federal authorities before the state could start using the money. The program begins next month on a first-come, first-served basis.
The money will help only a fraction of people in Michigan facing foreclosure. There were 36,000 foreclosures in Michigan in the first three months of this year.