637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

 Sheila Y. Oliver | Lt. Governor • Melanie R. Walter | Executive Director

1. Program Overview New Jersey Housing and Mortgage Finance Agency’s Emergency Rescue 

Mortgage Assistance (ERMA) Program will assist New Jersey homeowners unable 

to pay their mortgages or other eligible housing expenses due to a COVID-19 

related financial hardship. ERMA exists to promote neighborhood stability 

through homeowner retention by reducing delinquencies, mortgage defaults 

and foreclosures among New Jersey homeowners receiving assistance.

2. Brief Description The Mortgage Payment Assistance component of ERMA will provide funds to pay 

forward monthly mortgage payments on behalf of homeowners unable to make 

their mortgage payments due to a continuing financial hardship associated with 

the COVID-19 pandemic.

Homeowner Assistance Fund (HAF) funds may be used to pay a homeowner’s 

monthly mortgage/loan payments for a period up to 4 months or until the 

maximum amount of assistance is reached (whichever comes first). 

HAF funds may be used to supplement other loss mitigation measures offered 

by the servicer or where HAF funds are necessary for the homeowner to qualify 

for other such loss mitigation measures. To the extent applicants are able to use 

other loss mitigation resources in a timeline consistent with the timeline of the 

application for HAF assistance, utilizing other loss mitigation resources first is 

encouraged.

3. Maximum Amount of 

Assistance per Household

Homeowners will be eligible for up to $75,000 through this program to be used 

only for the homeowner’s primary residence. 

Eligible homeowners may benefit from multiple components of the ERMA 

program provided the total benefit from all components does not 

exceed $75,000.

4. Homeowner Eligibility 

Criteria/ Documentation 

Requirements

Homeowner Eligibility Criteria:

• Must have experienced a COVID-19 related financial hardship after 

 January 21, 2020.

 • Reduction of income or increase in household expenses by at least 10%.

• Must have incomes equal to or less than 150% of the area median income, 

 consistent with Treasury guidance.

Homeowners may not have liquid assets (excluding retirement assets

and education savings plans) greater than $100,000. 

Homeowners may not have liquid assets (excluding retirement assets and 

education savings plans) greater than $100,000.

Documentation Requirements:

• Valid Identification.

• Hardship Affidavit.

• Third Party Authorization.

• Mortgage Statement (if available).

• Income Determination Documents.

• Asset Attestation.

• Other documents upon request

Programmatic Element: Mortgage Payment Assistance Guidelines

May 4, 2023
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

5. Property/Loan Eligibility 

Criteria Specific to 

the Program

Property criteria includes:

• Must be owner-occupied primary residence.

• Must be a one- to four-unit property.

• Must be an attached or detached house, a condominium unit or a 

 manufactured home on a foundation permanently affixed to 

 real property.

Loan criteria includes:

• Original unpaid principal mortgage balance of the homeowner’s first 

 mortgage loan, at the time of origination, must not exceed the conforming

 loan limit in effect at the time of origination for the applicable property 

 type/unit count.

• Mortgage servicer must be willing/able to accept and apply

 Program funds

6. Structure of Assistance • Program assistance will be provided to the homeowner in the form of a 0% 

interest rate, non-amortizing (no monthly payments), forgivable, subordinate 

3-year loan. The loan will be non-recourse, secured and recorded, and 

take a junior lien position on the home. 

• All or a portion of the unforgiven loan funds will be due and payable from net 

equity proceeds upon sale or transfer or refinance of the property (except 

for refinances for a lower rate and/or shorter term) or if the borrower ceases to 

occupy the property as their primary residence prior to the end of the third 

year. If the property is sold and does not generate sufficient proceeds to repay 

all or a portion of the loan, the portion of the loan remaining unpaid after the 

proceeds are applied will be forgiven.

• Homeowner must work directly with a HUD-Certified Housing Counseling 

Agency during the duration of the assistance period in order to receive 

monthly payment assistance.

7. Payment Requirements Payments will be made directly to the lender or servicer.
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

 Sheila Y. Oliver | Lt. Governor • Melanie R. Walter | Executive Director

1. Program Overview New Jersey Housing and Mortgage Finance Agency’s Emergency Rescue Mortgage 

Assistance (ERMA) Program will assist New Jersey homeowners unable to pay their 

mortgages or other eligible housing expenses due to a COVID-19 related financial 

hardship. ERMA exists to promote neighborhood stability through homeowner 

retention by reducing delinquencies, mortgage defaults and foreclosures among 

New Jersey homeowners receiving assistance.

2. Brief Description The Mortgage Reinstatement component of ERMA will provide funds to eliminate 

or reduce past due payments and other delinquent amounts, including payments 

under a forbearance plan. 

Homeowner Assistance Fund (HAF) funds may be used to bring account fully 

current, with no remaining delinquent amounts post loss mitigation efforts, and to 

repay amounts advanced by the lender or servicer on the borrower’s behalf for 

property charges, including property taxes, hazard insurance premiums, flood or 

wind insurance premiums, condominium fees, homeowners’ association fees or 

other reasonable fees that the servicer advanced to protect lien position. HAF 

funds may be used to supplement other loss mitigation measures offered by 

the servicer or where 

HAF funds are necessary for the homeowner to qualify for other such loss mitigation 

measures. To the extent applicants are able to use other loss mitigation resources 

in a timeline consistent with the timeline of the application for HAF assistance, 

utilizing other loss mitigation resources first is encouraged.

3. Maximum Amount of 

Assistance per Household

Homeowners will be eligible for up to $75,000 through this program to be used only 

for the homeowner’s primary residence. 

Eligible homeowners may benefit from multiple components of the ERMA program 

provided the total benefit from all components does not exceed $75,000.

Emergency Rescue Mortgage Assistance (ERMA) 

Programmatic Element: Mortgage Reinstatement Guidelines

May 4, 2023
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

4. Homeowner Eligibility 

Criteria/ Documentation 

Requirements

Homeowner Eligibility Criteria:

• Must have experienced a COVID-19 related financial hardship after 

 January 21, 2020.

 • Reduction of income or increase in household expenses by at least 10%

• Must have incomes equal to or less than 150% of the area median income, 

 consistent with Treasury guidance.

• Homeowners may not have liquid assets 

 (excluding retirement assets and education savings plans) 

 greater than $100,000.

Documentation Requirements:

• Valid Identification.

• Hardship Affidavit.

• Third Party Authorization.

• Mortgage Statement (if available).

• Income Determination Documents.

• Asset Attestation.

• Other documents upon request

5. Property/Loan Eligibility 

Criteria Specific to 

the Program

Property criteria includes:

• Must be owner-occupied primary residence.

• Must be a one- to four-unit property.

• Must be an attached or detached house, a condominium unit or a 

 manufactured home on a foundation permanently affixed to 

 real property.

Loan criteria includes:

• At application, borrower must be behind on mortgage or have a 

 forbearance balance, escrow shortage, or other 

 eligible housing-related expenses.

• Original unpaid principal mortgage balance of the homeowner’s first 

 mortgage loan, at the time of origination, must not exceed the conforming 

 loan limit in effect at the time of origination for the applicable property 

 type/unit count.

• Mortgage servicer must be willing/able to accept and apply 

 Program funds.

6. Structure of Assistance • Program assistance will be provided to the homeowner in the form of a 0% 

interest rate, non-amortizing (no monthly payments), forgivable, subordinate 

3-year loan. The loan will be non-recourse, secured and recorded, and take a 

junior lien position on the home.

• All or a portion of the unforgiven loan funds will be due and payable from net 

equity proceeds upon sale or transfer or refinance of the property (except for 

refinances for a lower rate and/or shorter term) or if the borrower ceases to 

occupy the property as their primary residence prior to the end of the third 

year. If the property is sold and does not generate sufficient proceeds to repay 

all or a portion of the loan, the portion of the loan remaining unpaid after the 

proceeds are applied will be forgiven.

7. Payment Requirements Payments will be made directly to the lender or servicer.
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

 Sheila Y. Oliver | Lt. Governor • Melanie R. Walter | Executive Director

1. Program Overview New Jersey Housing and Mortgage Finance Agency’s Emergency Rescue 

Mortgage Assistance (ERMA) Program will assist New Jersey homeowners unable 

to pay their mortgages or other eligible housing expenses due to a COVID-19 

related financial hardship. ERMA exists to promote neighborhood stability 

through homeowner retention by reducing delinquencies, mortgage defaults 

and foreclosures among New Jersey homeowners receiving assistance.

2. Brief Description The Property Charge Default Resolution component of ERMA will provide funds 

to resolve certain property charge defaults that threatena homeowner’s ability to 

sustain ownership.

Homeowner Assistance Fund (HAF) funds may be used to pay past due 

property taxes, past due Homeowner Association (HOA) fees, municipal liens 

or utility liens that threaten sustained ownership of the property. Past due 

amounts must be brought current by program assistance or resolved 

concurrently with other assistance programs.

3. Maximum Amount of 

Assistance per Household

Homeowners will be eligible for up to $75,000 through this program to be used 

only for the homeowner’s primary residence. 

Eligible homeowners may benefit from multiple components of the ERMA 

program provided the total benefit from all components does not 

exceed $75,000.

4. Homeowner Eligibility 

Criteria/ Documentation 

Requirements

Homeowner Eligibility Criteria:

• Must have experienced a COVID-19 related financial hardship after 

 January 21, 2020.

• Reduction of income or increase in household expenses by at least 10%

• Must have incomes equal to or less than 150% of the area median 

 income, consistent with Treasury guidance. 

Homeowners may not have liquid assets (excluding retirement assets and education savings plans) 

 greater than $100,000.

Documentation Requirements:

• Valid Identification.

• Hardship Affidavit.

• Third Party Authorization.

• Mortgage Statement (if available).

• Income Determination Documents.

• Asset Attestation.

• Other documents upon request

Programmatic Element: Property Charge Default Resolution Guidelines

May 4, 2023
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

5. Property/Loan Eligibility 

Criteria Specific to 

the Program

Property criteria includes:

• Must be owner-occupied primary residence.

• Must be a one- to four-unit property.

• Must be an attached or detached house, a condominium unit or a 

 manufactured home on a foundation permanently affixed to 

 real property.

Loan criteria includes:

• At application, borrower must be behind on eligible housing 

 related expenses.

• Eligible expenses are limited to past due property taxes, past due HOA 

 fees, municipal liens and utility liens.

6. Structure of Assistance • Program assistance will be provided to the homeowner in the form of a 0% 

interest rate, non-amortizing (no monthly payments), forgivable, subordinate 

3-year loan. The loan will be non-recourse, secured and recorded, and 

take a junior lien position on the home. 

• All or a portion of the unforgiven loan funds will be due and payable from net 

equity proceeds upon sale or transfer or refinance of the property (except 

for refinances for a lower rate and/or shorter term) or if the borrower ceases to 

occupy the property as their primary residence prior to the end of the third 

year. If the property is sold and does not generate sufficient proceeds to repay 

all or a portion of the loan, the portion of the loan remaining unpaid after the 

proceeds are applied will be forgiven.

7. Payment Requirements Payments may be made directly to the appropriate entity, not the borrower or 

any third party.
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

 Sheila Y. Oliver | Lt. Governor • Melanie R. Walter | Executive Director

1. Program Overview

New Jersey Housing and Mortgage Finance Agency’s Emergency Rescue Mortgage 

Assistance (ERMA) Program will assist New Jersey homeowners unable to pay their 

mortgages or other eligible housing expenses due to a COVID-19 related financial 

hardship. ERMA exists to promote neighborhood stability through homeowner 

retention by reducing delinquencies, mortgage defaults and foreclosures among 

New Jersey homeowners receiving assistance.

2. Brief Description 

The HAF Housing Counseling Program exists to ensure the dissemination of 

information regarding the availability of assistance programs, help families 

determine eligibility for Federal, State and Local programs, and help applicants 

navigate the ERMA program application process.

3. Maximum Amount of 

Assistance per Household

Up to $700 paid to a Department of Housing and Urban Development

(“HUD”) Certified Housing Counseling Agency (“HCA”).

4. Homeowner Eligibility 

Criteria/ Documentation 

Requirements

Homeowner Eligibility Criteria:

• Must have experienced a COVID-19 related financial hardship after 

 January 21, 2020.

• Must have incomes equal to or less than 150% of the area median income, 

 consistent with Treasury guidance.

Documentation Requirements:

• Valid Identification.

• Hardship Affidavit.

• Third Party Authorization.

• Mortgage Statement (if available).

• Income Determination Documents.

• Asset Attestation.

• Other documents upon request

5. Property/Loan Eligibility 

Criteria Specific to 

the Program

Property criteria includes:

• Must be owner-occupied primary residence.

• Must be a one- to four-unit property.

• Must be an attached or detached house, a condominium unit or a 

 manufactured home on a foundation permanently affixed to real property.

HAF Housing Counseling Program Guidelines

May 4, 2023
637 South Clinton Avenue | P.O. Box 18550 | Trenton, NJ 08650-2085 | 609 • 278 • 7400 | njhousing.gov

6. Structure of Assistance • Homeowners will be given the option to work with an HCA contracted with 

NJHMFA to perform counseling services. • HCAs will be responsible for 

performing general intake, collecting income, property, mortgage, and asset

information, and offering support options for the homeowner. HCAs will assist 

in the completion and submission of ERMA applications for homeowners who 

meet the minimum ERMA eligibility criteria.

7. Payment Requirements Payments will be made directly to the HCA.