What is the Loan Preservation Assistance (LPA) program?
The Loan Preservation Assistance (LPA) program is designed to help Oregon homeowners preserve or maintain their existing mortgage by paying off past due payments and fees in order to bring their mortgage current. This will help eliminate the immediate risk of foreclosure. Homeowners must be able to demonstrate their ability to sustain the mortgage payment if brought current.
For qualified applicants, a one-time payment for the total amount of past due payments and fees up to $20,000 the maximum dollar limit will be sent directly to their mortgage lender or servicer.
Who’s eligible for the program?
To be eligible for LPA, a homeowner must:
For a full list of eligibility criteria, take the LPA eligibility questionnaire.
If I have a second mortgage will it be considered for assistance by OHSI?
No, a second mortgage or subsequent mortgages are not considered for assistance by OHSI. Only your first mortgage will be considered for assistance.
I received help through the MPA or MPAU program can I apply for LPA?
No, if you did receive assistance through the MPA or MPAU Loan Reinstatement program.
Yes, if you did not receive assistance through the MPA or MPAU Loan Reinstatement program.
How will I know if I did receive assistance through the Loan Reinstatement program?
MPA/MPAU participants who qualified for the Loan Reinstatement program received a notice from their Intake Agency.
MPA/MPAU participants who did not qualify for the Loan Reinstatement program should have received a denial letter.
If my servicer has not enrolled, can I still apply for the LPA program?
No. OHSI is only able to provide assistance to homeowners with a participating servicer. A full list of participating servicers can be found on the Servicers page.
If your servicer has not enrolled, you can ask OHSI to contact your servicer about participation.
Keep in mind that servicers are under no obligation to participate in OHSI programs.
Can I apply if I am currently in a HAMP modification?
Homeowners in a HAMP trial period cannot receive an LPA payment until the trial period is complete. Homeowners must choose between completing the HAMP trial period and receiving loan preservation assistance.
If you already have a permanent HAMP Modification, it will not conflict with your eligibility for the LPA program. If you have applied for HAMP, or are in a HAMP trial period, contact your servicer for more information.
When can I apply?
Applications are open statewide on a two-week cycle. Slots fill up quickly so apply early in the cycle for the best chance to secure a slot. If all slots are gone, you must wait for the next cycle to open.
The opening of LPA slots is based on available funding and the program can close at any time. Click here for more information about the application process and timelines.
Where do I apply for the LPA program?
Apply for the LPA program online at LPA program page.
Watch this video to learn more about the application process.
I tried to apply for LPA, but couldn’t get past the first page of the application. Why?
One or more of the following reasons:
How long does it take to fill out the application?
The application and gathering of supporting documents can take an hour or more. It really depends on variables that are unique to your situation.
It is a good idea to begin gathering supporting documents before applying for assistance. Please review the “How to Apply” video and LPA Submission Checklist to learn more about what supporting documents you will need to apply.
If you receive a slot you will have 10 days to complete your application.
I sent in an application for LPA. What now?
The process works as follows:
Keep in mind the following:
My application was incomplete or I missed the deadline. What do I do now?
Homeowners who submit incomplete applications or miss the deadline will lose their slot and have to start from the beginning in the next application cycle.
Incomplete applications commonly occur when the applicant does not supply all the supporting documentation with their application.
How will I be notified if I am accepted into the program?
Applicants will be notified by their intake agency if they have been accepted into the Loan Preservation Assistance program.
Once notified, you will need to sign your loan documents within 7 days of notification.
After signing loan documents, how will I know when my payment will be made?
The payment will be made within a couple weeks. Participants will need to refer to their mortgage statement or contact their servicer to verify when the payment has been posted to their account.
How is the payment made?
A one-time payment is sent directly to your loan servicer for the full amount due up to $20,000 maximum dollar limit for enrolled homeowners.
Do I have to repay the loan?
You will have to repay the LPA loan if you sell or refinance your home before the five-year forgiveness period ends and you have sufficient equity after you pay off your first mortgage.
Do I have to participate in the Homeowner Education program?
Since the LPA program provides a one-time payment, there is no requirement to participate in the Homeowner Education program.