By Henni Espinosa, ABS-CBN North America Bureau
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San Jose, Calif. – After working 22 years as a government employee, Carmen Castro decided to retire in 2007 to care of her ailing mother.

But the recession forced the 63-year old out of retirement.  The problem is, she can’t find a job.

Castro pointed out, “In one job opening, there are thousands that apply.  I’m older.  Of course, employers are going to choose the younger candidates.”

Castro’s savings are now gone and she still has to pay $2,000 a month in mortgage.

“I need to have an income on top of my retirement pay, which is not even that much,” said Castro.

She’s been waiting for over a year for her lender, Wells Fargo, to modify her loan.

In the meantime, she’s hoping President Obama’s new housing aid could help.

To help prevent foreclosures among unemployed homeowners, Obama is giving away $3 billion to states with the highest unemployment rates.

California is expected to get the biggest share with $476 million.

The United States Department of Treasury plans to release information on how many people will qualify for the bridge loans.

The program will provide unemployed homeowners emergency-zero interest rate loans up to $50,000 payable for up to two years.

Housing advocate Theresa Dwyer said, “That’s good. That will give temporary help to the homeowners.  But the problem is, there are no jobs.  After 24 months, will they have jobs so they can afford to repay the loans?”

Even if it’s temporary, Castro said it will help her pay her mortgage for the meantime.

She said, “That will keep us afloat.  That’s better than losing our homes.”

Housing advocates like Dwyer said the real solution to the housing crisis is jobs.  She maintained, “If there are enough jobs, more people will buy homes.  If there are enough jobs, more people will be able to afford their homes.”

With the increasing number of people losing their jobs and the longer time it takes for people to actually land jobs, housing advocates say the $3 billion government aid may not be enough.  But for now, it’s welcome news for unemployed homeowners who are running out of options to keep their homes.

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