BEAUMONT, Texas — For some Americans, it is getting harder to make ends meet amid the rising cost of housing.
Some homeowners are at risk of foreclosure, and a Southeast Texas non-profit organization is hoping to provide them with relief.
Kirkni Richardson works with Legacy Community Development. The non-profit organization has taken in 1,000 applications from Southeast Texas families for a homeowners assistance program.
“Residents are eligible to get up to $65,000 in homeowner assistance,” Richardson said. “So, if you're behind on your mortgage, property taxes, homeowners insurance also utilities, we can help.”
Applicants must make 100 percent or below the area median income to qualify, which for most counties in Southeast Texas, equals about $120,000 in annual income. The state-wide program has a total of $842 million being shared across eight counties, including Jefferson County, Orange County and Hardin County.
The available help stems from a partnership between the state’s homeowners assistance program and Legacy Community Development.
For some homeowners, the program could not have come at a better time.
“You don't have to pay this back, which is amazing," Richardson said. "So a lot of people think, 'Oh, well do I have to pay this back? Is it a loan?' No, this is a grant. This is for you."
Meredith Brush, a mortgage broker, said says high mortgages are only getting worse.
“Every week, I'm receiving multiple calls from past clients or even current homeowners,” Brush said. “We had rates in the three's for many years, and now, the rates are in the six's for a lot of homeowners."
Brush said mortgage payments are made up of four things: principal interest, taxes, insurance and possibly private mortgage insurance. However, taxes and insurance are what can constantly fluctuate and can cause high monthly mortgage payments
Brooks is encouraging homeowners in Southeast Texas to monitor their insurance renewal each year and to look for ways to cut costs.
"They can adjust the dwelling coverage. They can adjust the deductible,” Brush said. “There's a lot they can do to bring their payments back down, then resubmit the insurance policy to their lender and avoid deficiencies."
For those who still find themselves in a hole, state assistance is an option.
“Legacy is here to help Texas homeowners,” Richardson said. "If you need assistance, we are here to help"
Richardson said the process usually takes about one or two months depending on how much help a homeowner needs.