Are you an Eglin AFB or Hurlburt Field airman PCSing soon? 

These are the basic qualifications for HAP:

1.  You must be PCSing more than 50 miles
2.  You purchased your home or entered into a contract to buy it before July 1, 2006
3.  It was your primary residence (not a rental)
4.  Your orders were between February 1, 2006 and September 30, 2012.
5.   Your home must have declined at least 10% in value.  (That should not be in problem in the Eglin AFB and Hurlburt Field market). 

HAP may cover 90% of your loss from your original purchase price, with you bringing the difference to closing when you sell your homel  If you apply for HAP and are moving from Eglin AFB, Hurlburt Field, Duke Field or Whiting Field, here is part of an email you may receive from the HAP Savannah District:  

         “ We cannot estimate or pay benefits until you have provided all requested information, are determined eligible, and have sold your home or have it under contract.  You are encouraged to send in the information we request since we cannot determine your eligibility without it.The government acquisition option for… applicants involves the government purchasing your home and selling it immediately to your buyer in a subsequent transaction.  This option is for those who cannot afford to close without it.  You are advised to make every effort to sell your property at the highest reasonable price under current real estate market conditions.

        Please note we will require a fully signed HUD-1 Settlement Statement from when you bought your home.  Please send this document for inclusion in your file.If you listed major improvements in your application, you must provide receipts for these items if you would like them to be considered.  Current guidance is that the Prior Fair Market Value is the purchase price, but it is anticipated that there may be an adjustment for improvements in the final guidance.  Improvements and receipts must be in accordance with the guidelines established in IRS publications 552 & 527 (http://www.irs.gov/).”

The great news about this HAP guideline, is that your monetary assistance may be based on your cost plus improvements, not just your initial purchase price.  This means, HAP may cover more of the loss to your mortgage holders – so YOU will have to bring less funds to closing to cover the difference. 

If you plan on selling your home for a PCS from Eglin or Hurlburt in Navarre, Destin, Fort Walton Beach, Niceville, Crestview or Mary Esther,  Florida, contact a real estate agent who specializes in the HAP program.  Don’t let your home go to foreclosure!

It’s Wendy!

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

Eglin AFB and Hurlburt Field Real Estate

Short Sales & Pre Foreclosure Help.

 Read Wendy’s 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: itswendy@rulnickrealty.com

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. 

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The post Eglin AFB and Hurlburt Field PCS – HAP Helps You Avoid Foreclosure 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.