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.

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The post HAP Approves Shalimar Florida – Eglin Airman PCS Move first appeared on Rulnick Realty.

Updated townhome on 27 9th Street #4 in Shalimar Florida! Berber carpet, tile kitchen. Most recently painted. Air handler about 3 years old, roof 6 years old, hot water heater 6 years old. Kitchen with repainted custom cabinets, newer appliances. Spacious master bedroom with 2 closets. Attic with pull-down stairs and about 400 SF plywooded for storage. Extra closet under stairs, cable internet in each room. Patio off back of unit was extended about 100 SF, entrance into the utility room from back patio. No homeowners association, so save on your monthly expenses. Buyer may early-occupy while seller waits for HAP approval.  Ideal investment or owner-occupied unit in Shalimar in quick commute to Eglin Air Force Base, Hurlburt Field.  Shalimar is in the greater Fort Walton Beach Florida area, adjacent to beautiful Gulf of Mexico Beaches on Okaloosa Island.

Offered at $69,900

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

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The post 27 9th Street #4, Shalimar Florida – Home for Sale – Contingent on HAP Approval first appeared on Rulnick Realty.

Updated townhome on 27 9th Street #4 in Shalimar Florida! Berber carpet, tile kitchen. Most recently painted. Air handler about 3 years old, roof 6 years old, hot water heater 6 years old. Kitchen with repainted custom cabinets, newer appliances. Spacious master bedroom with 2 closets. Attic with pull-down stairs and about 400 SF plywooded for storage. Extra closet under stairs, cable internet in each room. Patio off back of unit was extended about 100 SF, entrance into the utility room from back patio. No homeowners association, so save on your monthly expenses. Buyer may early-occupy while seller waits for HAP approval.  Ideal investment or owner-occupied unit in Shalimar in quick commute to Eglin Air Force Base, Hurlburt Field.  Shalimar is in the greater Fort Walton Beach Florida area, adjacent to beautiful Gulf of Mexico Beaches on Okaloosa Island.

Offered at $69,900

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

Fort Walton Beach Short Sales & Pre Foreclosure Help.

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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.

The post 27 9th Street #4, Shalimar Florida – Home for Sale – Contingent on HAP Approval first appeared on Rulnick Realty.

By now most Eglin Air Force Base and Hurlburt Field airmen are aware of the Homeowner Assistance Program (

1. How long will it take to get HAP benefits? Four to six months from time of application.  Why so long? HAP is currently understaffed.  There are over 4200 applicants in the Savannah District, around 6400 nationally. Savannah District has 55 employees, separated into 5 teams, each lead by a “Realty Specialist”. They are processing 80-100 applications per person.  Three to four people are manning the toll-free lines. Most of the applications are missing data, so about 30 reps are assigned to asking applicants to complete all the needed information.

2. How can I get the quickest approval from HAP?  The Savannah regional representative made it very clear “Do your part–  send in as complete a package as possible”.  The Savannah District processes PCS applications in order of completeness! Remember, you don’t need your orders to apply. Eligibility for HAP is determined a few weeks after application. (Of course, priorities are always Wounded Warriors, Surviving Spouses)  Apply as soon as you know you will be getting orders.

3. Should I be concerned about the minimum marketing time on the HAP website of 120 days?  If your home sells sooner than 120 days, HAP will still consider the offer if it is close to fair market value.  It is important for you to get your real estate agent to do a market analysis supporting the contract price to provide to HAP.  HAP wants agent assistance.  If not, they use what is called an Automated Valuation Model (AVM) that is provided by a company called Core Logic.  These valuations may not be as accurate as what your agent provides, and HAP is aware of that. 

4. What else should I know about the calculations to determine my HAP benefit?   The HAP website leaves out some very important information about the amount of your benefit.  It is based not only your original purchase price, but on capital improvements you have done with receipts to show proof.  For example, if you put on a new roof, installed a water heater, built a retaining wall, etc, those are considered “capital improvements”.  What is not a capital improvement would be fixing a broken air conditioner, etc.  Reference the IRS “Selling Your Home”  publication for a guide on what a valid improvement is, HAP uses the same.

5. Will HAP pay more than the 90% reimbursement stated on their website? In reality, HAP will consider reimbursing up to 95%, per the regional rep I spoke with.

6. Will HAP pay more than 7% of the contract price towards closing costs, including your real estate agent commission?  In reality, HAP will reimburse 10% towards closing costs.  As the HAP regional rep stated, they want service members to be competitive in the market place, so if it helps to pay a bit toward buyer’s costs, they will do so.  Currently under review is a national policy on exactly what costs HAP will cover.  For example, they will not pay a buyer’s homeowner insurance, but might consider paying points. 

This is a recap of just part of my discussion with the HAP regional rep.  If you are a service member at Eglin AFB, Hurlburt Field, Whiting Field or Duke Field, and are considering HAP or a short sale for your next PCS move, give me a call or email me at itswendy@rulnickrealty.com.   I will be happy to fill you in on the rest of the scoop.  

It’s Wendy!

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

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

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1.  The first story is a Happy Short Sale Saga.  One of my Destin Florida sellers regained employment, so did not have to sell the home he and his family desperately loved!  I gladly withdrew the property from the market.  Specializing in short sales is often more than closing the sale.
2.  HAP – The Homeowner Assistance Program (HAP) is a government program expanded to help our military members who have orders to relocate from bases such as Eglin Air Force Base and Hurlburt Field.  Many of these servicemen are upside-down in their mortgages, and HAP is supposed to cover 90% of their loss so they can avoid foreclosure.  HAP has not helped many yet and is flooded with applications. The good news is that they are improving their information and refining their system, so hopefully more of our military will be helped in 2010. 

3.  HAFA – The Home Affordable Foreclosure Alternative Program is supposed to get short sale lenders/servicers on board to speed up approvals for homeowners of primary residences.  It offers guidelines and incentives to pre-approve short sales and forgive deficiencies.  We’ll watch carefully in the spring to report on HAFA progress- or not.
4.  Short Sale Training – My first short sale webinar marked the beginning of my business partnership with Bryant Tutas.  I prepared for the webinar with nervous trepidation, but ended up loving doing these classes! Simply put, it was a blast!  Not only did Bryant and I educate others, it helped me grow personally. We have since incorporated as REGrow, LLC.  Expect more good things in 2010. 

5. www.ShortSaleSuperstars.com  is the community Bryant Tutas and I founded to help short sale agents across the country “Learn, Know and Grow”.  In little over five months, our group is now almost 750 members strong.  Here, short sale professionals jump in to share secrets and information about every and any lender or short sale situation you can imagine.  Here, they are unlocking the knowledge to save more homeowners from foreclosure and do it at the highest levels.  This is a tight community of giving short sale leaders that is open for membership. If you have not yet joined – we welcome you to come with us on this exciting adventure.

As a final note, for 2010, I hope we all find greater solutions to the foreclosure and home ownership crisis that is touching the lives of every one of us.

It’s Wendy!

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

Destin FL Real Estate

Destin Short Sales & Pre Foreclosure Help.

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www.ShortSaleSuperstars.com for agents

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

Email Wendy: itswendy@rulnickrealty.com

The post TOP SHORT SALE STORIES OF THE YEAR first appeared on Rulnick Realty.

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.

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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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The post HAP – No HELP for Eglin AFB and Hurlburt Field PCS first appeared on Rulnick Realty.

Since writing Eglin AFB and Hurlburt Field: Homeowner Assistance Program (HAP) for Short Sales, more information has come to light.  Or lack of thereof!  I have received numerous calls and emails looking for clarification on how the program will be implemented, and how it will affect sellers (military relocation term meaning “permanent change of station”).  Currently, the issue is there is no directive from the Department of Defense as to how to process HAP applications, nor many program specifics.  My area, from Navarre to Destin, Florida and up through Niceville and Crestview has approximately 3000 airmen relocating to other bases around the country and the world.  Many of those airmen purchased homes during 2004-2006, and do not have enough equity to sell their houses when they must relocate and pay off their mortgage balance.  HAP is supposed to help, but as of yet, there is no help.

 Here is the latest result of my HAP research:

Mr. Frazier, of the HAP Savannah District told me:

There is no true timeframe by which the DOD directive with program details will be published.
Rumor is at the end of May, but it is far from confirmed.
Applications can not be “processed” at this time, but you can mail one in.
HAP will not buy homes.
When the DOD directive is implemented, he said:

Qualified military members may sell their homes at market value or 90% thereof.
At time of contract, use a 90 day closing date, HAP will try for sooner.
Make the offer contingent on HAP approval.
When a contract is entered into, call your HAP district for instructions.
Additionally, I inquired by email and received this communication from HAP Realty Specialist, B.M. Reed, summarized and with emphasis added:

Ms. Rulnick,

               The Department of the Army, in coordination with the other military departments, is in the process of finalizing implementation guidance for the expanded HAP, including determining eligibility, restrictions, and disqualifications.  Based on the current HQ timeline for review and official approval of the guidance, it may not be until late May before the implementation guidance is at district level.  When the implementation guidance is issued, it will be published on the official HAP website, which can be found at http://hap.usace.army.mil

        Unfortunately, without the referenced implementation guidance any attempt to provide detailed information on the Stimulus Bill HAP eligibility, disqualifications, benefits, or how benefits will be calculated would be merely speculation.

        Under this program the Government might be able to reimburse applicants part of the loss from selling their home (private sale benefits) or assist applicants if they do not have enough proceeds from the sale of the home to pay off the mortgage at Closing (private sale augmentation).   Benefits may be based on the difference between the prior fair market value (PFMV) of the property and the current fair market value (CFMV).  The PFMV may be determined by an appraisal effective 1 July 2006, or possibly the purchase price of the property might be used; the CFMV may be determined by the appraised value at the time of sale or possibly the selling price itself.  The Government could pay an amount up to a stipulated percentage of the difference between the two figures used for the computation.  Again, guidance has not yet been published so a completely different scenario might be used to compute benefits.

        The term ‘private sale augmentation’ merely means when an applicant’s benefit payment is brought by the Government to a Closing in order to assist the applicant with the payoff of a mortgage and typical seller closing costs so that the sale can be finalized.  In order to be eligible for a private sale augmentation, an applicant must maintain current payment status on his/her mortgage from the time an application is submitted through Closing.

      
        While the implementation guidance is being finalized, potential applicants are free to apply now by visiting the HAP website to fill out, print and mail in an application to the appropriate district for the area in which the property in question is located.  Instructions on how to apply can be found at http://hap.usace.army.mil/HowToApply.html

      
        I’ve attempted to provide you some information as best I can without having yet received implementation guidance on the program from the DOD.  What information there is available on the Stimulus Bill HAP (ARRA) can be located on the Army’s official HAP website at http://hap.usace.army.mil.  There is wealth of information under the section of FQAs at http://hap.usace.army.mil/FAQs.html

B. M. Reed, Realty Specialist
HAP Section, Acquisition Branch,
    Real Estate Division (RE-HA)
US Army Corps of Engineers
PO Box 889
Savannah, GA 31402-0889

What a predicament for relocating servicemen.  How can you put a home on the market contingent on HAP approval, unless you get a buyer willing to wait with no closing date?  What if you have already changed bases and cannot continue to make mortgage and/or rent payments in both locations?  According to HAP, you must stay current on your mortgage payments to qualify for the program.

I encourage servicemen to contact their state and federal representatives to hasten a resolution of the HAP quandary.  Meanwhile, stay tuned for the latest updates.

It’s Wendy!

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

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

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The post HAP Update first appeared on Rulnick Realty.

Due to the draw-down of the 33^rd Fighter Wing at the Eglin AFB complex, approximately 2000 airmen are being relocated from the Emerald Coast of Florida to other air force bases around the country and world.  In addition about 1000 personnel from Hurlburt Field are moving to Canon AFB in Clovis, New Mexico.  Unfortunately, airmen in the Fort Walton Beach, Crestview, Navarre, Niceville and Destin areas of Florida are facing the same predicament as most Americans.  Many have mortgage balances that are more than the market value of their homes.  Thus, when faced with a forced military move, and such choices as to lease out their homes with insufficent rent to cover the mortgage, or foreclosure, the preferred strategy is to conduct a short sale. A short sale occurs when the seller’s mortgage holder accepts fair market value at sale of the property, and, in the best case scenario, forgives the rest of the mortgage debt.

The good news for Eglin and Hurlburt Field military personnel is that further financial help may be available through the Homeowners Assistance Program (HAP).   HAP is a long-established Department of Defense program that is managed by the US Army Corps or Engineers. HAP was initially used only to assist in Base Realignment and Closure (BRAC) moves, but the new economic stimulus plan has expanded the program to include Permanent Change of Stations (PCS) moves.

What HAP offers in terms of relief is the following:

The Government may-

1. Reimburse you for part of your loss from selling your home

2. Assist you, if you don’t receive enough proceeds from the sale of your home to

pay off your mortgage

3. Buy your home by paying off the mortgage

4. Help you, if you default on your mortgage

Further, HAP states you should continue try to sell your home on the open market.  According to the program, you may be paid up to 95% of the difference of the Fair Market Value prior to the BRAC or PCS announcement affecting you, and the appraised value at time of sale, with potential for some closing cost reimbursement.  HAP will not reimburse for the total loss.  At the time of this writing, I have three Hurlburt Field and Eglin AFB home sellers who have applied for HAP simultaneously while attempting a short sale.  How the government will interact with short sale lenders is to be determined.

Local Eglin AFB commanders are still trying to get formal interpretation of the program as it applies to Emerald Coast airmen.  One of the controversial limits of the program expansion in the new American Recovery and Stimulous Act is that it applies only to homes purchased prior to July 2006. This limiting date does not correspond to the still-inflated real estate market in the ensuing months, in which many military members continued to purchase homes as outlined by Air Force Major Jason Trew’s Letter to Congress.

While the language in the current bill is still being interpreted by Air Force authorities, you might be eligible to receive benefits under the new legislation.  If you are in a short sale situation, stationed at Eglin AFB, Hurlburt Field or Duke Field, you should see your commander or first sergeant and make your Application for Homeowner Assistance.  As always, consult an experienced real estate agent who specializes in short sales to help you through the process.

It’s Wendy!

The post Eglin AFB and Hurlburt Field: HAP for Military PCS Short Sales first appeared on Rulnick Realty.