Barrett Henry is a Broker Associate at REMAX Collective with 23+ years of Florida real estate experience helping homeowners throughout all 67 Florida counties navigate foreclosure, short sales, and pre-foreclosure sales. He provides direct service to Tampa Bay homeowners and referral connections statewide. Florida's Homeowner Assistance Fund (HAF) program was a lifeline for many homeowners -- but it has now exhausted its funding. Barrett helps homeowners understand what options remain and how to access them.
Florida Housing administered the state's Homeowner Assistance Fund program, funded by the American Rescue Plan Act of 2021, which provided more than $676 million in assistance to Florida homeowners facing mortgage delinquency, property tax arrears, utility arrears, and insurance shortfalls related to COVID-19 hardship. As of September 2026, the program has exhausted its allocation and is closed to new applications.
If you were counting on HAF and missed the window, or if you are newly in financial distress, you are not out of options. Multiple federal and servicer-specific programs remain available that can provide meaningful relief.
What HAF Did and Why It Is Gone
The Florida HAF program covered mortgage arrears (past-due principal, interest, taxes, and insurance), property tax delinquencies, homeowner and flood insurance premiums, HOA and condo association fee arrears, and utility arrears for qualifying homeowners. It was designed specifically for COVID-19 hardship and had a statutory framework tied to the American Rescue Plan with defined fund limits.
Programs funded from a fixed appropriation will always eventually close when funds run out. HAF is gone, but the underlying hardship for many Florida homeowners is not. The programs described below exist independently of HAF and remain available.
FHA Loss Mitigation Waterfall: Options for FHA Borrowers
If your mortgage is FHA-insured, you have access to one of the most comprehensive loss mitigation frameworks in the country. HUD's FHA loss mitigation waterfall -- described in detail on the FHA loss mitigation waterfall page -- provides multiple layers of options.
FHA Partial Claim
The FHA Partial Claim defers past-due amounts (arrears, plus any associated fees authorized by HUD) into a junior, subordinate lien at 0% interest with no monthly payment. The deferred amount is paid when you sell the home, refinance, or pay off the primary FHA mortgage. The Partial Claim can cure arrears without increasing your monthly payment, making it one of the most powerful tools available to FHA borrowers in default.
The cap on the Partial Claim is 30% of the unpaid principal balance at the time of default. To qualify, you must be in default, able to resume regular payments after the partial claim is applied, and you must complete your servicer's loss mitigation application. Contact your servicer or a HUD-approved counselor to apply. The FHA loan foreclosure options page covers the full spectrum of programs for FHA borrowers.
FHA Loan Modification
If the Partial Claim alone cannot bring your loan current, an FHA Loan Modification permanently changes the terms of your loan -- potentially extending the term, reducing the interest rate, or both -- to achieve an affordable monthly payment. Modifications are evaluated based on your income and the property value.
FHA Pre-Foreclosure Sale (Short Sale)
If you cannot afford the home even with a modification, the FHA Pre-Foreclosure Sale allows you to sell the home for less than what you owe with HUD's approval. Most FHA short sales result in a full release of liability. This is a better outcome than foreclosure for your credit and your deficiency exposure. The short sale Florida page explains the full process.
VA Partial Claim Program: Options for VA Borrowers
Veterans with VA-guaranteed loans have their own loss mitigation framework. The VA Partial Claim Program allows servicers to advance funds to bring a delinquent VA loan current, with the veteran then owing a subordinate claim to the VA of up to 30% of the original loan amount. This claim is at 0% interest and is due when the property is sold or the primary loan is paid off.
VA also offers loan modifications, repayment plans, and special forbearance. The FHA and VA foreclosure risk page covers the options for government-backed loan borrowers in more detail. VA borrowers should contact their servicer and request an evaluation for all available VA loss mitigation options. The VA also has a dedicated loan guaranty program -- call 1-800-827-1000.
USDA Rural Development Loss Mitigation
Homeowners with USDA Section 502 Direct or Guaranteed loans in eligible rural areas have access to USDA-specific loss mitigation including Special Forbearance (temporary payment reduction or suspension), Loan Modification (permanent term changes), and the USDA Partial Claim (similar in structure to the FHA Partial Claim, deferring arrears). Contact your USDA Rural Development servicer or the Florida USDA Rural Development state office in Gainesville for guidance.
Fannie Mae and Freddie Mac Flex Modification
For conventional conforming loans owned or guaranteed by Fannie Mae or Freddie Mac, the Flex Modification program provides a streamlined modification option. Eligible borrowers who are 60 or more days delinquent (or in some cases facing imminent default) may receive a modification that reduces the monthly principal and interest payment through interest rate reduction, term extension, or principal forbearance.
The Flex Modification does not require income documentation for borrowers who are 60 or more days delinquent -- making it more accessible than some programs. To find out if your loan is owned by Fannie Mae or Freddie Mac, use the free lookup tools at their respective websites. Your servicer can confirm this as well.
The forbearance vs. loan modification comparison explains the key differences between temporary payment relief and permanent loan restructuring.
CFPB Regulation X: Your Legal Right to Loss Mitigation Review
Regardless of which program you are seeking, CFPB Regulation X (12 C.F.R. 1024.41) gives you important legal rights. A servicer must:
- Acknowledge your loss mitigation application within 5 business days
- Evaluate a complete application for all loss mitigation options available
- Not move for a foreclosure judgment or conduct a foreclosure sale while a complete application is pending (dual tracking prohibition)
- Provide a written notice with the specific reason for any denial
- Allow you to appeal a denial within 14 days
The CFPB Regulation X 2026 rules page covers the current requirements in detail. If your servicer is violating these rules, a HUD counselor or attorney can help you enforce your rights.
County-Level Programs and Emergency Assistance
While HAF was a statewide program, some Florida counties independently administer emergency mortgage assistance using Community Development Block Grant (CDBG) funds or other local sources. Availability changes frequently as funds are depleted and new allocations are made.
In the Tampa Bay area:
- Hillsborough County: Contact Hillsborough County's Community and Neighborhood Services division at (813) 274-6500
- Pinellas County: Contact Pinellas County Human Services at (727) 464-8400
- Pasco County: Contact the Pasco County Community Development division
Ask specifically about "emergency mortgage assistance," "housing assistance programs," or "CDBG mortgage help." Program details, eligibility, and funding availability change frequently, so calling directly is the best approach.
Free HUD Counseling Is Still Available
HUD-approved housing counselors provide free assistance regardless of HAF's closure. They can help you identify which programs apply to your loan type, prepare your application documents, communicate with your servicer, and advocate for your interests. This is the most important free resource available to Florida homeowners facing foreclosure today.
Call 1-800-569-4287 or visit hud.gov/counselors to find a counselor in your area. The HUD counseling page explains in detail what counselors can do and what to expect from the process. In Tampa Bay, Bay Area Legal Services is HUD-approved.
What If You Are Considering Selling Instead?
If loss mitigation programs are not going to make the home affordable -- or if you simply do not want to stay -- selling the home may be the best financial decision. If you have equity, selling before foreclosure eliminates the foreclosure entirely and lets you walk away with the proceeds. If you owe more than the home is worth, a short sale can resolve the mortgage with a deficiency waiver and cause significantly less credit damage than a completed foreclosure.
The can I sell my house in foreclosure page answers the most common questions about selling during an active foreclosure. Barrett Henry provides direct service to Tampa Bay homeowners who need to sell quickly and has referral connections throughout all 67 Florida counties.
Use the Checklist to Find Your Best Option
With multiple programs available -- FHA Partial Claim, VA Partial Claim, USDA options, Flex Modification, short sale, deed in lieu, forbearance, bankruptcy -- it can be overwhelming to know where to start. The foreclosure checklist provides a structured way to evaluate your situation and identify the options most likely to work for your loan type, equity position, and financial circumstances.
The resources page lists HUD counseling agencies, legal aid organizations, and government program contacts throughout Florida.
If you are falling behind and worried about what comes next, the worst thing you can do is nothing. The behind on mortgage payments Florida options page walks through the decision process step by step. The stop foreclosure Florida page summarizes every tool available to halt a foreclosure in progress.
Have questions about what programs are available for your specific loan type in 2026? Contact Barrett Henry for a free consultation. He provides direct service to Tampa Bay homeowners and referral connections throughout all 67 Florida counties.
