$53M in Mortgage Relief for Homeowners in Utah

Once the Utah Homeowner Assistance Fund program opens, eligible homeowners in the state can get up to $25,000 to make mortgage payments and pay 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.

Once Utah's Homeowner Assistance Fund program gets rolling, homeowners who've experienced a financial hardship because of the pandemic will be able to get a portion of the approximately $53 million allocated to the state, up to $25,000 per household, by submitting an application. This program will use federal money to help eligible homeowners make mortgage payments and pay other home-related costs, like property taxes, homeowners' insurance, and utilities.

What Housing Costs Are Covered Under the Utah Homeowner Assistance Fund Program?

Homeowners can potentially use money from the Utah Homeowner Assistance Fund program to pay:

  • primary mortgages and second mortgages
  • property taxes
  • hazard insurance premiums
  • flood insurance premiums
  • wind insurance premiums
  • homeowners' insurance premiums
  • in the case of a manufactured home, ground rent
  • condominium fees
  • cooperative maintenance fees
  • planned unit development fees
  • homeowners' association fees
  • utilities that the servicer advanced to protect their lien position
  • reasonably required legal fees, and
  • other fees or payments required to bring the homeowner's primary residence current.

Also, you might also be able to get funds to pay future payments.

Eligibility Requirements for the Utah Homeowner Assistance Fund Program

To qualify for relief from this program, you must have suffered a financial hardship (a material reduction in income or an increase in living expenses) after January 20, 2021, because of the coronavirus pandemic. You also have to meet these guidelines:

  • You must have owned the home on or before January 1, 2020.
  • The property must be owner-occupied and located in Utah.
  • The property must be your primary residence.
  • Eligible properties include single-family, one- to four-unit dwellings, condominiums, manufactured/modular homes permanently affixed to real property and taxed as real estate, and manufactured/modular homes not permanently affixed to real property but with a Title Certificate or Statement of Ownership in the homeowner's name. (Second homes, investment properties, and vacant properties don't qualify.)
  • You must meet income eligibility requirements.
  • You must be at least 60 days delinquent.

How the Utah Homeowner Assistance Fund Program Works

Assistance is structured as 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.

How to Apply for the Utah Homeowner Assistance Fund Program

As of June 9, 2022, Utah's Homeowner Assistance Fund program is still under development and not yet taking applications. Check the Department of Workforce Services' Homeowner Assistance Fund website to get updates about availability.

In the meantime, you can take steps to get ready to apply once the program begins. You'll have to provide documentation along with your application. Start organizing the documents you'll need, such as your mortgage statement, pay stubs, and previous year's tax returns, 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. You might qualify for a special loss mitigation option, depending on what entity owns or backs your loan. 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 Utah Homeowner Assistance Fund Program

If you need help with the application process or have questions about the Utah Homeowner Assistance Fund program, a HUD-approved housing counselor can assist you (for free). To find a counselor near you, go to HUD's website or call 800-569-4287.

Effective date: June 9, 2022