The $1 billion program funded by taxpayers - as opposed to making homeowners tap into the massive equity gained in their homes while they weren't making payments - was approved by the US Department of the Treasury, and will apply to as many as 40,000 struggling homeowners according to a statement from Newsom's office.

"We are committed to supporting those hit hardest by the pandemic, and that includes homeowners who have fallen behind on their housing payments," it reads. "No one should have to live in fear of losing the roof over their head, so we're stepping up to support struggling homeowners to get them the resources they need to cover past due mortgage payments."

Newsom noted that renters and landlords had already received assistance.