The Sunshine State certainly has no shortage of foreclosures. In fact, the state has more foreclosures than any other state in the U.S. Which is why it’s baffling that Florida recently turned down a chance at $250 million in foreclosure relief funds.
The Hardest Hit Fund Program
The up to $250 million in foreclosure assistance was made available to Florida through the “Hardest Hit Funds” program introduced by the Obama administration. The Florida Housing Finance Corporation recently made the decision to forego applying for the funds, and thus did not receive the much needed financial assistance for Floridians facing potential foreclosures.
On the bright side, the state did receive $78 million automatically this past April, when the U.S. Treasury Department first announced that additional funds would be available. No application process was required to receive these funds. That said, it is hard to make sense of the decision not to seek more relief when the state has yet to shake its claim to the title for the most foreclosures.
Why Not Apply?
While the FHFC has yet to give a concrete reason for not pursuing the funds, many reports have suggested that the decision stems from Gov. Rick Scott’s idealogical opposition to accepting federal assistance money. It is also important to note that Florida does not have the best track record in distributing the relief it has received thus far. The state lags behind other states in distribution by a full 10 percent. The U.S. Treasury Department has even publicly taken issue with this, releasing a report last year that pointed to Florida for having the lowest rate of acceptance for the program.
If you are currently facing foreclosure, we are here to help. Call a West Palm Beach foreclosure attorney at Kelley & Fulton today to learn about your options.