HUD Announces Disaster Assistance for Victims of Texas Severe Winter Storm

The winter storm has impacted so many families in Texas. I wanted to share this information and ask you to share it with those who may be in need. This will help a lot of people, please share.

Foreclosure protections in place for homeowners in Presidentially Declared Major Disaster Areas:

On February 22, 2021, The U.S. Department of Housing and Urban Development (HUD) announced the implementation of federal disaster assistance for the State of Texas to provide support to homeowners and homebuyers in areas affected by the Severe Winter Storm.  On February 19, 2021, President Biden issued a major disaster declaration for the following counties in Texas: Angelina, Aransas, Bastrop, Bee, Bell, Bexar, Blanco, Brazoria, Brazos, Brown, Burleson, Caldwell, Calhoun, Cameron, Chambers, Collin, Comal, Comanche, Cooke, Coryell, Dallas, Denton, DeWitt, Ellis, Falls, Fort Bend, Galveston, Gillespie, Grimes, Guadalupe, Hardin, Harris, Hays, Henderson, Hidalgo, Hood, Jasper, Jefferson, Johnson, Kaufman, Kendall, Lavaca, Liberty, Madison, Matagorda, Maverick, McLennan, Montague, Montgomery, Nacogdoches, Nueces, Orange, Palo Pinto, Panola, Parker, Polk, Rockwall, Sabine, San Jacinto, San Patricio, Scurry, Shelby, Smith, Stephens, Tarrant, Travis, Tyler, Upshur, Van Zandt, Victoria, Walker, Waller, Wharton, Wichita, Williamson, Wilson and Wise.

The President’s declaration allows HUD to offer foreclosure relief and other assistance to impacted families living in these counties. Effective immediately, HUD is:

· Providing immediate foreclosure relief: HUD’s automatic 90-day moratorium on foreclosures of Federal Housing Administration (FHA)-insured home mortgages commenced for the Texas counties covered under the Presidential declaration on the date of the declaration. Additionally, borrowers who cannot make their mortgage payment, are urged to call their loan servicer, the entity to which they make their mortgage payment.

· Making mortgage insurance available: HUD's Section 203(h) program provides FHA insurance to disaster victims whose homes were destroyed or damaged to such an extent that reconstruction or replacement is necessary. For those that are facing the daunting task of rebuilding or buying another home, Section 203(h) allows eligible borrowers to receive 100 percent financing, including closing costs.

· Making insurance available for both mortgages and home rehabilitation: HUD's Section 203(k) loan program enables those who have lost their homes to finance the purchase or refinance of a house along with its repair through a single mortgage. It also allows homeowners who have damaged houses to finance the rehabilitation of their existing single-family home. For a list of HUD-approved lenders in your area, use our online search tool.

· Ensuring HUD-approved housing counseling agencies are ready to assist: HUD-approved housing counseling agencies have counselors available to assist those who are impacted by natural disasters to determine assistance needs and available resources. Find a HUD-approved housing counseling agency.

· Making information on housing providers and HUD programs available: The Department will share information with the Federal Emergency Management Agency (FEMA) and the State on housing providers that may have available units in the impacted counties. This includes Public Housing Agencies and owners of HUD-assisted multifamily properties. The Department will also connect FEMA and the State to subject matter experts to provide information on HUD programs and providers. See notice for Public Housing Agencies on disaster waivers and administrative flexibilities.  Read about these and other HUD programs designed to assist disaster victims.

Visit HUD’s Press Room to read the latest HUD news.

New FEMA Emergency Declaration:

Please review the disaster declaration for the availability of individual assistance.

· Texas SEVERE WINTER STORMS (DR-4586-TX), Incident Period: February 11, 2021 and continuing, Major Disaster Declaration declared on February 19, 2021

Reminders for Housing Counselors:

Housing Counseling Handbook 7610.1, Chapter 5-11, B. 3-d, requires when any aspect an agency’s purpose is impaired and can no longer comply with programmatic requirements, regulations or grant agreement (e.g., not functioning due to a disaster or emergency) the agency must notify their HUD Point of Contact (POC) within 15 days.

If your agency’s operational status is impacted by a disaster, it is important to let your clients and partners know of changes in operating hours, locations and services. Please place appropriate messages on your agency voicemail, email and social media.

Housing counseling agencies are in a unique position to help their communities prepare for and recover from a disaster. They can help their clients prepare for disasters by integrating preparedness into their counseling and education activities. Post-disaster, they can use their knowledge of local resources and programs to help clients navigate the complexities of disaster recovery resources and programs. Please review the HUD Housing Counseling Disaster Recovery Toolkit for information on counseling clients affected by disasters. 

Please refer any questions to your HUD Point of Contact (POC) or email: [email protected]

There are just 159 days remaining until the HUD housing counselor certification final compliance date on August 01, 2021. Don’t delay, certify today!