Section 1680.404c - Eligibility for assistance(a) No assistance may be made with respect to a mortgage or mortgagor under this article unless all of the following are established: (1) The property securing the mortgage, or other security interest in the case of units in cooperative or condominium projects, is a one-family residence, or two-family owner-occupied residence including one-family units in a condominium project or a membership interest and occupancy agreement in a cooperative housing project, is the principal residence of the mortgagor and is located in this Commonwealth.(2)(i) Any mortgagee has indicated to the mortgagor its intention to foreclose; and(ii) payments under any mortgage have been contractually delinquent for at least sixty (60) days.(3) The mortgage is not insured by the Federal Housing Administration under Title II of the National Housing Act ( 12 U.S.C.§§ 1707 - 1715z - 18 ).(4) The mortgagor is a permanent resident of this Commonwealth and is suffering financial hardship due to circumstances beyond the mortgagor's control which render the mortgagor unable to correct the delinquency or delinquencies within a reasonable time and make full mortgage payments.(5) The agency has determined that there is a reasonable prospect that the mortgagor will be able to resume full mortgage payments within twenty-four (24) months after the beginning of the period for which assistance payments are provided under this article and pay the mortgage or mortgages in full by its maturity date or by a later date agreed to by the mortgagee or mortgagees for completing mortgage payments.(6) The mortgagor has applied to the agency for assistance on an application form prescribed by the agency for this use which includes a financial statement disclosing all assets and liabilities of the mortgagor, whether singly or jointly held, and all household income regardless of source. Any applicant who intentionally misrepresents any financial information in conjunction with the filing of an application for assistance under this article may be denied assistance or required to immediately repay any amount of assistance made as a result of such misrepresentation, and the mortgagee may, at any time thereafter, take any legal action to enforce the mortgage without any further restrictions or requirements under this article.(7) The mortgagee is not prevented by law from foreclosing upon the mortgage.(8) The agency has determined, based on the mortgagor's financial statement, that the mortgagor has insufficient household income or net worth to correct the delinquency or delinquencies within a reasonable period of time and make full mortgage payments.(9) Except for the current delinquency, the mortgagor shall have had a favorable residential mortgage credit history for the previous five (5) years. This requirement shall mean that, if the mortgagor has been more than three (3) consecutive months in arrears on a residential mortgage within the previous five (5) years, he shall be ineligible for assistance, unless the mortgagor can demonstrate that the prior delinquency was the result of financial hardship due to circumstances beyond his control.(10) For purposes of this section, in order to determine whether the financial hardship is due to circumstances beyond the mortgagor's control, the agency may consider information regarding the mortgagor's employment record, credit history and current income.(11) The mortgagor meets any other procedural requirements established by the agency.(12) The mortgagor is not more than twenty-four (24) months delinquent or in default for more than twenty-four (24) months pursuant to the terms of mortgagor's residential mortgage. This requirement shall mean that if the mortgagor is more than twenty-four (24) consecutive or nonconsecutive months in arrears on the residential mortgage in question, no matter what the reason therefor, he shall be ineligible for assistance.(13) The property is not encumbered by more than two mortgages, other than a mortgage filed by the agency to secure repayment of the mortgage assistance loan, or by other liens or encumbrances which would unreasonably impair the security of the agency's mortgage.(b) Upon a determination that the conditions of eligibility described in subsection (a) have been met by a mortgagor and money is available in the Homeowner's Emergency Mortgage Assistance Fund, the mortgagor shall become eligible for the assistance described in section 405-C. If the agency determines that a mortgagor has not met the conditions of eligibility described in subsection (a), the mortgagor shall be prohibited from reapplying for assistance under this article for a period of twenty-four (24) months from the date of such determination unless there is a material change in circumstances: Provided, however, That nothing is this subsection shall prohibit any mortgagee from commencing legal action to enforce the mortgage without any further restriction or requirement under this article whenever the agency determines that the mortgagor is ineligible for assistance as provided in this section.1959, Dec. 3, P.L. 1688, No. 621, art. IV-C, § 404-C, added 1983 , Dec. 23, P.L. 385, No. 91, § 2, imd. effective. Amended 1984 , May 31, P.L. 364, No. 73, § 2, imd. effective; 1992, Dec. 18, P.L. 1652, No. 182, § 9, imd. effective; 1998, Dec. 21, P.L. 1258, No. 160, § 3, effective in 60 days.