$50M in Mortgage Relief Available to North Dakota Homeowners

Eligible homeowners in North Dakota can get financial assistance to pay mortgage payments and cover other housing-related expenses.

By , Attorney


In early 2021, President Joe Biden signed the American Rescue Plan Act into law. This law created a Homeowner Assistance Fund, a federal program, to give around $10 billion to the states to help households that are behind on their mortgages and other housing expenses due to COVID-19.

Eligible homeowners in North Dakota who've experienced a financial hardship because of the pandemic can get a portion of the approximately $50 million allocated to the state by applying to the ND Help for Homeowners program. This program uses federal money to help homeowners pay mortgage payments and other home costs.

What Costs Are Covered By the ND Help for Homeowners Program?

ND Help for Homeowners has three sub-programs that provide financial assistance to homeowners:

  • the Housing Reinstatement Program (HRP)
  • the Housing Payment Assistance Program (HPAP), and
  • the Home Repair Program (HAFHR).

Housing Reinstatement Program (HRP)

This program will provide up to $40,000 to cover:

  • delinquent mortgage payments (principal, interest)
  • delinquent junior liens (like secondary liens from loss mitigation options, such as an FHA partial claim)
  • homeowners' insurance and flood insurance
  • expenses related to overdue water, sewer, gas, oil, electricity, and garbage
  • delinquent property taxes
  • lot rent for manufactured homes, and
  • homeowners' association or condominium association fees and special assessments.

Assistance can pay outstanding expenses from January 21, 2020, through the application date, for up to 24 months of eligibility.

Eligibility. To qualify for HRP assistance:

  • you must have suffered a financial hardship (a material reduction in income or an increase in living expenses) after January 21, 2020, because of the coronavirus pandemic
  • your income must be equal to or less than 150% of the area median income, with priority given to socially disadvantaged individuals, and
  • you have to own and occupy the property as your primary residence. (Second homes, investment properties, and vacant properties don't qualify. Eligible property types include one- to four-family dwellings, condominiums, and manufactured homes.)

Housing Payment Assistance Program (HPAP)

This program will pay up to $12,000 to cover future housing expenses, like:

  • mortgage payments (principal and interest)
  • property taxes, flood insurance, and homeowners' insurance, which may be escrowed in the mortgage payment
  • utility expenses (water, sewer, gas, oil, electricity, and garbage)
  • lot rents, and
  • homeowners' association or condominium association fees and special assessments.

HPAP assistance is available for up to six months or until you reach the maximum dollar amount.

Eligibility. To qualify for HPAP assistance:

  • you must have suffered a financial hardship (a material reduction in income or an increase in living expenses) after January 21, 2020, because of the coronavirus pandemic.
  • your income must be equal to or less than 100% of the area median income, with priority given to socially disadvantaged individuals, and
  • you have to own and occupy the property as your primary residence. (Second homes, investment properties, and vacant properties don't qualify. Eligible property types include one- to four-family dwellings, condominiums, and manufactured homes.)

Home Repair Program (HAFHR)

With HAFHR, you can apply to get money to pay housing rehabilitation costs for roofing (including soffits, gutters, and fascia), drainage and runoff management, electrical and plumbing systems, and foundation expenses. You can also use assistance money to make environmental modifications and accessibility improvements. Depending on your circumstances, other requests will be considered and potentially approved.

You can get up to $30,000 under this program, but the total amount of assistance for all requests, like home repairs, mortgage payments, and other housing costs, can't exceed the program cap of $40,000 per household.

Eligibility. To qualify for HAFHR assistance:

  • you must have suffered a financial hardship (a material reduction in income or an increase in living expenses) after January 21, 2020, because of the coronavirus pandemic.
  • your income must be equal to or less than 80% of the area median income, with priority given to socially disadvantaged individuals, and
  • you must own and occupy the property as your primary residence. (Second homes, investment properties, and vacant properties don't qualify. Eligible property types include one- to four-family dwellings, condominiums, and manufactured homes.)

How the ND Help for Homeowners Program Works

Assistance is in the form of a grant that you don't have to repay. Payments from the program go directly to the loan servicer or other approved entity, not to homeowners.

When Will the ND Help for Homeowners Program End?

The ND Help for Homeowners program will run from June 2022 until September 2025 or until program funds run out.

How to Apply to the ND Help for Homeowners Program

You can apply for help from the ND Help for Homeowners program starting June 20, 2022. Go to the ND Help for Homeowners website to submit your application. Funds are limited, and demand will probably be high. So, if you think you might qualify, you should apply as soon as possible after the application process becomes available.

In the meantime, you can take steps to get ready to apply once the program begins. Start organizing the documents you'll probably need, such as your most recent tax return or two most recent paystubs, photo ID, mortgage statement or property tax statement, and utility statements, and put them in a digital format (like a pdf).

Also, find out what type of mortgage you have, like an FHA-insured, VA-guaranteed, Fannie Mae, or Freddie Mac mortgage. Depending on what entity owns or backs your loan, you might qualify for a special loss mitigation option. Call your loan servicer to learn about what alternatives are available.

Avoid Homeowner Assistance Fund Scams

Be wary if you get an unsolicited offer by phone, mail, email, or text message offering mortgage relief or foreclosure rescue services. Scammers are increasingly targeting homeowners who've been affected by COVID-19. Homeowner Assistance Fund programs are free. If anyone asks you to pay a fee to get housing counseling or to receive foreclosure prevention services from this program, it's a scam.

Learn More About the ND Help for Homeowners Program

Go to the ND Help for Homeowners website to learn more about available assistance. Also, review the factsheets for the Homeowner Reinstatement Program (HRP), Homeowner Payment Assistance Program (HPAP), and Homeowner Assistance Fund Home Repair Program (HAFHR). You can also sign up to receive email updates.

You may also get help by going to HUD's website or calling 800-569-4287 to contact a housing counselor. A HUD-approved housing counselor will assist you at no cost.

Effective date: June 20, 2022