Established in 2021 to help homeowners impacted by COVID-19, the VMRP has already disbursed more than $171 million to over 10,000 households. Soon, the funding will run out.

The Virginia Mortgage Relief Program (VMRP) will close to new applicants on Oct. 1, over two years after its launch in January 2021.

The program runs through Virginia Housing and was created to help homeowners avoid foreclosing on their homes and being displaced as a result of pandemic-related “financial hardships,” such as an increase in living expenses, childcare, change in household size, job loss, or reduction in income. 

It was funded by $258 million in federal funds received from the American Rescue Plan. Applications are closing ahead of full disbursement of all allocated funds.

The program will continue taking applications submitted before Oct. 1, processed based on remaining funding availability. There is a cap of $50,000 per household since January of this year, and applicants at risk of foreclosure will take priority.

Funds from the program can be put toward various home-related expenses, including mortgage payments, homeowner’s insurance, and payment assistance for delinquent property taxes to prevent homeowner tax foreclosures, according to the VMRP website.