Real Estate NEWS
Senate Proposes Military Homeowner Relief
Week of February 02, 2009
The "American Recovery and Reinvestment Act" (S. 336), most commonly known as the economic stimulus bill, has an administrative provision that would relieve military homeowners on PCS orders who are bottom up on their mortgages or otherwise suffer a significant loss on the sale of their homes.
The bill would temporarily extend coverage to these groups under the Homeowners Assistance Program (HAP), which normally only applies to members whose home values are depressed by base realignments and closures. The provision would cover servicemembers and federal civilian employees in these categories who purchased a primary residence before July 1, 2006 and who receive PCS orders or suffered a wound, injury, or illness while deployed between that date and September 30, 2012.
Update October 2009:
The Army Corps of Engineers is finally able to process applications. Please review their website for up-to-date information and application package.
Seller beware: you have to carry some of your loss, so if you are upside-down on your mortgage you'll still have to bring money to the table!