This townhome at Country Villas, Shalimar, Florida has been approved as a HAP (Homeowner Assistance Program) sale.  HAP is a program designed to assist United States military service members who have orders to relocate bases, and are upside-down in their mortgages.  Meaning, they owe more on their mortgage than their current market value.

Just how quick was this HAP approval?

The property went under contract two weeks ago.  The seller, an Eglin Air Force Base service member, sent HAP his final application documents, a copy of the real estate contract and a Broker Price Opinion which I provided.

HAP approved the sales price within one week.

Another week later, HAP approved the service member for benefits! 

The next steps?  The HAP Government Aquisition program (also called augmented sale) will buy the home from the servicemember, pay his remaining balance on his mortgage, and re-sell the property to the buyer.  HAP will use its own title agency to purchase from the airman, and we can choose a local title agent to facilitate the purchase between the government and the buyer.

If you are an Eglin AFB or Hurlburt Field airman, consider using the HAP program if you are PCSing and upside-down in your mortgage.  And contact an agent who specializes in HAP.

It's Wendy!

Wendy Rulnick, Broker, Rulnick Realty, Inc.

Call toll-free 1-877-ITS-WNDY (1-877-487-9639) or local 850-650-7883 ext 204

Email Wendy: itswendy@rulnickrealty.com

Fort Walton Beach Florida Real Estate

Crestview Florida Short Sales & Pre Foreclosure Help.

Read Wendy's Real Estate Blog

Wendy is a short sale and pre-foreclosure specialist and has been featured in "Kiplinger Personal Finance Magazine" and "Florida Realtor Magazine". Call Wendy Rulnick, Broker/Owner,to list and sell your home or condo on the Emerald Coast of Florida in Walton, Okaloosa and Santa Rosa County-  Destin, Santa Rosa Beach, Fort Walton Beach, Niceville, Bluewater Bay, Navarre, Seagrove Beach, Watercolor, Sandestin, Seaside, Crestview, Rosemary Beach, Mary Esther, Shalimar, Eglin AFB, Hurlburt Field. 

Are you an airman PCSing from Eglin AFB or Hurlburt Field?  Are you upside down in your mortgage and owe more than your current property value?  If so, you may know I have been checking the HAP website daily for the last several months.  As I have previously reported, the site was taken down at one point, and all information was removed. 

Today, the site has changed and information is posted that may be useful to relocating military who might qualify for the government assistance to cover some of the loss.

1.  Qualifications include: PCSing more than 50 miles, having purchased your home or entered into a contract to purchase prior to July 1, 2006, you lived there and it was your primary residence, and your orders were between February 1 2006 through September 30, 2012.

2. Your home must have declined at least 10% in value.  (That should not be in problem in the Eglin AFB and Hurlburt Field market).

3. Assistance will initially be emphasized to those who received orders through December 2009, with a report date no later than February 28, 2010. 

4. HAP benefits are based on the amount you originally purchased the property for (prior fair market value PFMV verified by your settlement statement). The full amount of your negative value will not be reimbursed.

5. The site claims the government will provide benefits within 60 to 90 days of receiving your documents.  I would use caution here, as that claim was also made several months ago and no HAP benefits have yet been paid to my knowledge.

6. The site states that no specific dollar amounts of loss reimbursement are addressed and HAP advises you to contact your local district CoE office. For Eglin AFB,  Hurlburt Field and Duke Field, please contact the Army Corps of Engineers Savannah District.  However, elsewhere on its site, HAP mentions that up to 90% of your purchase price minus your sale price plus closing costs may be your benefit.

7. The government claims they will make up “liabilities” to servicemembers from a foreclosure, but not past due payments or junior liens you obtained after buying the property.

8. Some of your closing costs will be paid for, including title services and Realtor fees.

9. The government recommends you use a Realtor to sell your home and states that using a Realtor will may increase your chances of finding a buyer.

10. You are required to market your home for at least 120 days.  Your initial list price should be obtained by the Corps of Engineers automated value model for at least 30 days.

11. Your benefits will be taxable as income to you.

12. Caution:  Per the Realtor Guide , you or your Realtor must maintain records of price changes, showings, offers, etc to demonstrate that the house was not sold at too low a price.  The CoE office will obtain an appraisal to verify the price was within market range.  If the sales price is considered too low, no benefits will be paid.

 13.  There are maximum price range limits for assistance. In Okaloosa, Walton and Santa Rosa counties the purchase price limit for benefits is $417,000.

Here is the HAP application checklist and HAP application.

As soon as you know you have orders from Eglin AFB or Hurlburt Field, apply for assistance immediately.

Analysis and questions to follow. I would like to hear from you, our local servicemembers.

It's Wendy!

Wendy Rulnick, Broker, serving the entire Emerald Coast of Florida, Navarre, Fort Walton Beach, Crestview, Destin, Freeport, Mary Esther, Shalimar, Santa Rosa Beach.

Rulnick Realty, Inc.

itswendy@rulnickrealty.com

850-650-7883 ext 204

HAP has done it again!  I recently wrote about the military's Homeowner Assistance Program that is supposed to help our United States service members. When they have orders to relocate, or pcs, to a different military base, the newly expanded HAP would to cover up to 90% of the loss in the service member's upside-down mortgage.  That would be wonderful, because many of our airmen, soldiers, marines and sailors purchased homes that are now worth less than the mortgage balances.  The HAP program would probably save them from foreclosure or short sale.

HAP has provided NO assistance since the initiative was expanded by the American Recovery and Reinvestment Act of 2009 that became law this February.  HAP has continually removed information from its website. They have thousands of applicants awaiting help. They have done nothing.  And now it's worse.

Just this morning, I was notified by Don Duft, a fellow Realtor serving military, that HAP HAS COMPLETELY REMOVED ITS WEBSITE.

Friends, this is OUTRAGEOUS!  Last time I wrote there is no help from HAP, now they are completely missing.  It is time to take action!  Don has shared a draft letter that I modified for your use. You may customize it to write your Senator or Congressman to do something to help our military members.  Tell them HAP is TOO LATE to help thousands who have orders to pcs.  Action must be taken NOW to support the men and women who defend us every day!

Honorable Senator or Congressman________

As Realtor working with Veterans and United States military members it appears that the DOD Homeowners Assistance Program is not responding to those authorized to be assisted in the 2009 Stimulus bill – those Active Duty Military in a Permanent Change of Duty Station (PCS). The 2009 PCS season is at its peak and the DOD does not have the rules issued by which an applicant can benefit. In fact, nothing has been done.

It is time that you step in to intervene for these deserving Active Duty Military members so they can complete their PCS move assisted by the program the Senate and House crafted and was signed into law.  These brave men and women do not deserve foreclosure or ruined credit, while defending our nation. It is not encouraging and when you call it is even more discouraging.

Sincerely,

YOUR NAME HERE

You can find your Senators here and your Congressmen here.  Please do what you can and take a stand to help those who help us.

It's Wendy!

Wendy Rulnick, Broker, CRP, CRS, GRI, ABR     Rulnick Realty, Inc.  850-650-7883

Eglin AFB and Hurlburt Field FL Real Estate

Short Sales & Pre Foreclosure Help for Eglin AFB and Hurlburt Field.

Read Real Estate Blog

Email Wendy to sell your home or buy a home: itswendy@rulnickrealty.com

Call Wendy Rulnick, Broker/Owner, to list and sell your home or condo on the Emerald Coast of Florida in Walton, Okaloosa and Santa Rosa County-  Destin, Santa Rosa Beach, Fort Walton Beach, Niceville, Bluewater Bay, Navarre, Seagrove Beach, Watercolor, Sandestin, Seaside, Crestview, Rosemary Beach, Mary Esther, Shalimar, Eglin AFB, Hurlburt Field.   Wendy is a short sale and pre-foreclosure specialist and has been featured in "Kiplinger Personal Finance Magazine" and "Florida Realtor Magazine".

HAP, where are you?

HAP is the Homeowner Assistance Program for U.S. military members “who face financial loss” when selling their homes in order to PCS, or "permanent change of station" to a new base.  In other words, if you are an airman stationed at Eglin Air Force Base, Hurlburt Field or any other base and you have “orders” to move and your mortgage amount is more than the current value of your home- HAP is supposed to help you.  HAP was meant to help cover a significant portion of your losses so you can dispose of your real estate to PCS, even if you are upside-down in  your mortgage, without facing foreclosure.

But what is HAP doing?  I am sorry to say- NOTHING!  Thousands of servicemen have applied for help and many have already relocated - with no financial assistance. I have written a series of posts with information every time I get updates about the HAP program.  Each time I write a new blog, HAP changes its story and so far has done NOTHING to help upside-down Eglin AFB and Hurlburt Field airmen who are forced to relocate to new bases.  On a previous blog I posted a link to the Department of Defense Directive that detailed the new HAP policy for PCS moves.  When I checked the blog links about a week later- I found the information had been REMOVED from the HAP site.   Further, the HAP site used to have an expanded FAQ (Frequently Asked Questions) section that answered many questions about the new PCS help.  Those questions have been since REMOVED.  But not before I quoted them in another post.

Our military members are good citizens and purchased homes when they moved to Eglin AFB or Hurlburt Field.  Now, forced to PCS, they are faced with a choice:

1. Rent out their property, for an amount insufficient to cover their mortgage payment, due to declining rentals.  Most military do not have enough to cover the shortfall.

2. Let the property go to foreclosure.

3. Do a short sale.

4. Bring money to closing to cover the loss- highly unlikely since most Fort Walton Beach, Crestview and Navarre Florida homes purchased in the last few years are $100,000 or more upside-down.

5. Wait for HAP while doing any of the above.

When HAP finally puts an assistance policy in place, these servicemen may get reimbursed part of the loss on their upside-down mortgages.  But my question is-  what good is a reimbursement after a lender has foreclosed or a short sale has been completed?  By the time HAP starts working, it would be too late.  There will already be a hit on the airmen’s credit.  HAP representatives have suggested to me that the affected homeowner “borrow” an amount sufficient to cover the loss in a short sale, then wait for HAP funds.  My question – "HOW can an airman who earns $50,000 borrow a $100,000 note to “cover” an upside-down mortgage?"  He cannot.

HAP, you’ve got to help…  NOW.

It's Wendy!

Wendy Rulnick, Broker, CRP, CRS, GRI, ABR     Rulnick Realty, Inc.

Emerald Coast FL Real Estate

Emerald Coast Short Sales & Pre Foreclosure Help.

Read Emerald Coast Real Estate Blog

Call toll-free 1-877-ITS-WNDY (1-877-487-9639) or local 850-650-7883 ext 204

Email Wendy to sell your home or buy a home: itswendy@rulnickrealty.com

Call Wendy Rulnick, Broker/Owner Rulnick Realty, to list and sell your home or condo on the Emerald Coast of Florida in Walton, Okaloosa and Santa Rosa County-  Destin, Santa Rosa Beach, Fort Walton Beach, Niceville, Bluewater Bay, Navarre, Seagrove Beach, Watercolor, Sandestin, Seaside, Crestview, Rosemary Beach, Mary Esther, Shalimar, Eglin AFB, Hurlburt Field.   Wendy is a short sale and pre-foreclosure specialist and has been featured in "Kiplinger Personal Finance Magazine" and "Florida Realtor Magazine".

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