Help for Unemployed Borrowers: Lessons from the Pennsylvania Homeowners' Emergency Mortgage Assistance Program

11 Pages Posted: 6 Apr 2011

See all articles by James Orr

James Orr

Federal Reserve Bank of New York

John Sporn

Federal Reserve Bank of New York

Joseph S. Tracy

Federal Reserve Bank of New York; National Bureau of Economic Research (NBER)

Joe Huang

Federal Reserve Banks - Federal Reserve Bank of New York

Date Written: April 1, 2011

Abstract

In an environment of high foreclosure rates and distressed housing markets, federal policies are focusing on loan modifications to help delinquent homeowners pay their mortgages. While it is too soon to assess the effectiveness of these modifications, policymakers considering future refinements may gain insight from a more established, state-level enterprise that takes an alternative approach to mortgage relief. The Pennsylvania Homeowners’ Emergency Mortgage Assistance Program provides temporary income support to homeowners unable to pay their mortgage during a spell of unemployment. The program has helped most participants retain their homes while paying off their loans - at a potentially lower cost than that of other relief initiatives.

Keywords: mortgage, foreclosure

JEL Classification: E58, E52, G18

Suggested Citation

Orr, James and Sporn, John and Tracy, Joseph and Huang, Joe, Help for Unemployed Borrowers: Lessons from the Pennsylvania Homeowners' Emergency Mortgage Assistance Program (April 1, 2011). Current Issues in Economics and Finance, Vol. 17, No. 2, 2011. Available at SSRN: https://ssrn.com/abstract=1803326 or http://dx.doi.org/10.2139/ssrn.1803326

James Orr (Contact Author)

Federal Reserve Bank of New York ( email )

33 Liberty Street
New York, NY 10045
United States

John Sporn

Federal Reserve Bank of New York ( email )

33 Liberty Street
New York, NY 10045
United States

Joseph Tracy

Federal Reserve Bank of New York ( email )

33 Liberty Street
New York, NY 10045
United States
212-720-6344 (Phone)
212-720-2630 (Fax)

National Bureau of Economic Research (NBER) ( email )

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Joe Huang

Federal Reserve Banks - Federal Reserve Bank of New York ( email )

33 Liberty Street
New York, NY 10045
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
56
Abstract Views
750
rank
372,226
PlumX Metrics