PORTLAND — Maine will receive $10.3 million from the U.S. Department of Housing and Urban Development to provide interest-free loans for eligible homeowners who are behind on their mortgage because of lost income, U.S. Rep. Chellie Pingree said today.

“This program offers good news and welcome relief to many Maine families struggling to make their mortgage payments,” said Pingree. “No homeowner should have to deal with losing the home they’ve worked so hard to buy and maintain, but the bad economy has put good Mainers in this tragic situation.”

HUD is still determining who will administer the Emergency Homeowners Loan Program in Maine, but it is likely to be a nonprofit group, Pingree said.

HUD expects the first loans to be given by December. The zero-interest loans of up to $50,000 are meant to assist eligible homeowners who have lost their jobs or income with payments on their mortgage principal, interest, taxes, and insurance for up to 24 months.

Under the program, eligible homeowners must:

— Be at least three months delinquent in their payments and have a reasonable likelihood of being able to resume repayment of their mortgage payments and related housing expenses within two years.

— Have a mortgage property that is the principal residence of the borrower, and eligible borrowers may not own a second home.

— Demonstrate a good payment record prior to the event that produced the reduction of income.

Pingree has set up a page on her website with resources for constituents who are at risk of foreclosure. Find contacts for housing counselors, information on federal programs, and tips for dealing with banks at www.pingree.house.gov/services/housing.

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