The economic downturn and the crashing of the real estate market have put millions of homeowners in financial distress. This financial crisis has spread far and wide and is impacting members or our military who are forced to sell their homes in a down market due to a relocation. Military homeowners who must sell their homes for a loss after receiving transfers orders are eligible for aid that could mean thousands of dollars in reimbursements from the federal government. Recently, the Departments of Defense has published guidelines for a $555 million program to help military families that have had to relocate.
Members of the Armed Forces permanently reassigned during the mortgage crisis can recieve aid if they meet these guidelines:
1. Permanent reassignment requires move of more than 50 miles.
2. Reassignment ordered between 1 February 2006 and 31 December 2009.
3. Property purchased (or contract to purchase signed) before 1 July 2006.
4. Property sold by owner between 1 July 2006 and 1 May 2010.
5. Property was the primary residence of the owner
6. Owner has not previously received these benefit payments.
To find out more information visit the DOD HAP website by clicking here.
If you do not directly qualify for this program, there are more options under the Servicemembers civil Relief Act (SCRA). It is important to remember that lenders and working hard to help homeowners prevent foreclosure especially for our military. Foreclosure alternatives include; forbearance, reinstatement, short sale, mortgage modification and deed in Lieu of foreclosure. You can read more about these terms here. It is in the lender’s best interest to help you.