California launches mortgage relief program for disaster-affected homeowners in June

The CalHFA General Board Meeting held on May 22, 2025, focused on the launch of a new mortgage relief program aimed at assisting homeowners affected by recent disasters in California. The program is designed to support individuals whose homes have been destroyed or deemed uninhabitable due to qualified disasters occurring between January 2023 and January 8, 2025.

Key discussions highlighted the program's eligibility criteria, which include a focus on households earning up to 100% of the Area Median Income (AMI) and adherence to the 2025 HUD conforming loan limits for the respective counties. This adjustment was made to address challenges faced in previous relief efforts, where some applicants were denied funding due to minor discrepancies in loan amounts.

The meeting also emphasized the importance of outreach and communication strategies to ensure affected homeowners are informed about the program. A contact center will be established to assist applicants, and community-based organizations will play a crucial role in disseminating information. The board acknowledged the need for sensitivity in the application process, recognizing the emotional toll on individuals who have lost their homes.

Looking ahead, the program is set to launch publicly on June 5, 2025, with applications opening on June 12. The board expressed confidence in the program's swift implementation, drawing on lessons learned from past initiatives. Funding is expected to be distributed by July, providing timely assistance to those in need.

Overall, the meeting underscored CalHFA's commitment to responding effectively to housing crises and ensuring that vulnerable populations receive the support necessary to rebuild their lives. The collaborative efforts among various state agencies and community partners were highlighted as essential to the program's success.