California Launches CalAssist Mortgage Fund Offering Up to $20,000 in Relief

The California Housing Finance Agency (CalHFA) has announced a new mortgage relief program aimed at assisting homeowners whose properties were destroyed in recent natural disasters. The CalAssist Mortgage Fund will provide financial support to help eligible homeowners continue making mortgage payments.

Despite the destruction caused by events such as the Palisades and Eaton Fires, many affected homeowners remain responsible for mortgage payments on properties they can no longer occupy. The CalAssist program offers up to three months of assistance, with a maximum grant of $20,000 per household. Funds will be disbursed directly to participating mortgage servicers.

To qualify, the property must have been the applicant’s primary residence and must have been destroyed in a California disaster occurring between January 1, 2023, and January 8, 2028. Covered events include this year’s Palisades and Eaton Fires, as well as other statewide disasters such as the 2024 Park Fire and Hurricane Hilary in 2023.

Income limits also apply. For example, in Los Angeles County, the maximum qualifying income is $140,700, regardless of household size. Additionally, applicants are only eligible if their mortgage servicer has agreed to participate in the program.

The application portal will open on June 12. Homeowners who prefer not to apply online may contact the program by phone at (800) 569-4287 to receive assistance from a HUD-certified housing counselor.

This is a first-come, first-served program, with $105 million in total available funding. Once the funds are exhausted, no further applications will be accepted.

Homeowners are encouraged to begin gathering the necessary documentation in advance of the application window. Recommended documents include mortgage statements, utility bills, insurance claim information, recent bank statements, and proof of income.

The CalAssist Mortgage Fund is a critical lifeline for those navigating the financial aftermath of disaster. Eligible homeowners are encouraged to apply promptly once the application window opens.