In an announcement that could bring a sigh of relief to homeowners devastated by the recent string of natural disasters in California, Governor Gavin Newsom has unveiled the CalAssist Mortgage Fund, poised to deliver up to $20,000 in aid for eligible individuals. Set to launch on June 12, 2025, the fund is part of a $105 million relief effort targeting those hardest hit, including victims of the Los Angeles-area firestorms earlier in the year.
"Homeowners whose home was destroyed in a recent fire, flood, or other disaster deserve support in their recovery. We know that recovery takes time, and the state is here to support," Newsom said, acknowledging the protracted road back from such life-altering events. The program, run by the California Housing Finance Agency (CalHFA), couples the grants with $25 million dedicated to housing counseling support. Notably, these financial infusions will not affect the proposed 2025-2026 budget, ensuring that aid comes without additional fiscal consequence to the state's financial planning.
The relief extends to those homeowners who faced destruction or inhabitable conditions due to disasters with a State of Emergency declaration by the Governor or a Major Disaster Declaration by the President between January 2023 and January 2025. This includes not only the Eaton and Palisades Fires but also the Park Fire and the San Diego floods. As detailed on the state's official website, individuals can apply for up to three months' worth of mortgage payments.
"When disaster strikes and families lose their homes, every step toward recovery makes a meaningful difference," said Tomiquia Moss, Secretary of California’s Business, Consumer Services, and Housing Agency, emphasizing the significance of the fund's impact. According to officials, applicants can reach out directly to the CalAssist Mortgage Fund hotline for assistance or engage with HUD-certified housing counseling agencies for additional support. The program's details and the application process have been made available on the fund's website ahead of the launch.
Expediting the road to recovery, Newsom's administration has been proactive about cutting red tape. In the aftermath of the LA firestorms, this included fast-tracking building permits using a new AI tool and the issuance of executive orders that smoothed out environmental and coastal permitting requirements for rebuilding. Governor Newsom has taken steps to give disaster-affected communities a greater voice by introducing Engaged California, a platform meant to foster dialogue and inform policy-making in response to the wildfires.
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