Program Design

• Please explain how the sources of data listed in the section on Homeowner Needs 

informed theProgramDesignElements included in your plan. Sources of data were 

received from lending institutions in the Territory and represented the financial 

ramifications caused by COVID on the economy. Based on the data received, 

Program Designs Elements were established to ensure that the HAF plan will meet

the needs of the most vulnerable homeowners. 

• Will there be a method in your HAF program, early in the process of engaging with a 

household,to evaluate immediate threats to the housing stability of applicants, which 

may need to be addressed under an expedited or prioritized timeline (e.g. HOA liens, 

tax delinquencies, utility shut off)? Evaluations of each applicant file will be 

conducted to determine prioritization of need. Staff will review and assess applicants 

to ensure that socially disadvantaged individuals, homeowners with federally funded 

loans, and low-income homeowners are assisted first. Priority will include those 

persons facing imminent foreclosure and those requiring mortgage reinstatement. To 

assess immediate assistance, the HAF application will include questions requesting 

information on whether the household is facing threat of displacement from their 

home within the next 30 days. In addition, if imminent risk is established, the 

program will safeguard against foreclosure as the application is prioritized and 

processed. 

• Please confirm your exclusion of loans secured by manufactured housing and explain 

what stepsyou have taken to assess the needs of homeowners with such loans. Please 

summarize any community feedback or data on which youhave based this decision. 

Due to the Territory’s location in a high-risk hurricane as well as seismic zone, and 

the resulting local building codes, manufactured homes are not typically found in the 

Territory. In addition, because of the Territory’s isolated geographic location, the 

cost of shipping a manufactured unit and then modifying it to meet local codes 

negates interest in a manufactured homes. In the event that someone does have a 

unit, they would not be excluded from receiving assistance. 

• Please describe how your program will utilize housing counselors or legal services to 

assist homeowners in evaluating loss mitigation options available for their mortgage. 

Your descriptionshould include:

o whether your program will connect homeowners with housing 

counseling or legalservices early in the process. The Virgin Islands 

Housing Finance Authority employs HUD Certified Housing 

Counselors, who will assist homeowners in evaluating their loss 

mitigation alternatives. These counselors are full time employees who 

currently provide housing counseling and educational services to all 

residents of the Territory. Through the HAF Program, these counselors 

will be utilized to provide immediate services to delinquent 

homeowners. Although all applications will be processed, a priority 

system will be established to ensure that applicants requiring urgent 

assistance will be prioritized. An evaluation of each file will be 

completed and correspondence with the lending institution will be 

explored to confirm mortgage arrearage and applicant’s current 

financial status. 
o the role housing counseling or legal services providers will play in 

supportinghomeowners’ efforts at engaging in loss mitigation. The 

HUD certified housing counselors will play a vital role in this 

process. Applicants will receive loss mitigation services to 

determine best options. These services will include evaluation of 

mortgage arrearage, financial assessment of the applicant, and 

recommended solutions. Loss mitigation counseling will assist the 

delinquent homeowners throughout the process. 

• How will your programleverage resources available througha lossmitigationprocess

to benefiteligible homeowners and how will your program avoid using HAF funds in 

ways that duplicate relief that available loss mitigation options might provide? The 

VIHFA’s HUD Certified Housing Counselors will provide loss mitigation counseling 

to homeowners in default. These services will be provided through the Authority’s 

Homeownership Division. There are no programs or funds available to pay 

assistance on the clients’ behalf. For many of these clients who have fallen behind, 

resolutions such as refinancing are not workable to them. Assistance from the HAF 

will restore them to current payment schedules. 

• Please explain what steps, if any, your program will take to assist the homeowner in 

determiningwhether a HAF-resolutionwill resultin a sustainable monthly payment? 

The Authority’s HUD certified counselors will assist in the evaluation of each 

homeowner. In addition, the Homeownership Staff have extensive experience in 

prequalification of first-time home buyers and familiarity with the use of ratios to 

ensure affordability. This knowledge is essential in calculating the sustainable 

monthly payments for each applicant. 

• Are you anticipating increased winter home energy costs and their potential 

impact on thehomeowners that HAF will serve? The US Virgin Islands is located 

in the tropical region of the Caribbean and does not experience seasonal 

weather.

• Your programs set $25,000 as the maximum amount of assistance per 

homeowner. Pleaseexplain how you determined this amount will be sufficient to 

resolve housing-relateddelinquencies andwhether the cap will be sufficientin

areaswith higher housing costs? The maximum amount allotted was 

determined based on the average monthly mortgage payments of low-income 

and SDI homeowners and the assumption that the typical client may require 

assistance for up to 18 months. 
Performance Goals

• Please explain how you intend to communicate your progress towards 

performance to thepublic. Performance updates will be disseminated via social 

media, radio and advertisements to inform the public of the plan’s progression 

and the Authority’s goals. 

• Please indicate which three metrics will serve as the best indicators of the 

success of yourprogram. The best indicators of the program’s success will 

include quantifiable measures. These include number of homeowners saved 

from foreclosure, number of homeowners with payment assistance that reflect 

affordable ratios, and number homeowners with modifications assistance to 

• Please indicate whether youintend to disaggregate metrics by income, race, gender, etc. 

Metric will be disaggregated by at minimum income and race, despite the Territory 

being a majority-minority community.

• Please consider including as an additional metric the number of homeowners

assisted/foreclosures prevented solely through counseling or legal services without 

payment ofHAF funds to resolve the homeowner’s defaults or delinquencies. The 

VIHFA Housing Counseling staff will utilize the CounselorMax Client Management 

System to track all homeowners assisted. This system will document all clients 

irrespective of HAF funding/payments and document the counseling outcome. 
Readiness

• Please provide the most recent available information about your program's readiness, 

includingstaffing, contractors, etc. The VIHFA will employ its HUD Certified 

Counselors and Homeownership Division Staff to evaluate the HAF applications 

and provide counseling services. 

• Is your program prepared to launch upon approval and, if not, by what date will you 

be ready tolaunch following approval? The VIHFA anticipates launching the 

Territory’s HAF program in April 2022.

• Please provide updated information about your progress in spending the initial 10% 

paymentfrom your jurisdiction’s full allocation and the status of any pilot assistance 

already offered ormade available to homeowners. The Territory of the US Virgin 

Islands has received the initial 10% allotment; however, these monies have not yet 

been dispersed to VIHFA and are currently in the Department of Finance’s coffers.