Program provides up to $1,500 a month in event of job loss for up to six months
Home buyers concerned about losing their jobs and then having to make their monthly mortgage payments should take heart. A new CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) Mortgage Protection Program, available through your local REALTOR®, provides up to $1,500 per month, for up to six months, to eligible first-time home buyers who lose their jobs due to layoffs.
Best of all, the Mortgage Protection Program is FREE to home buyers, with the monthly premiums for the program paid for by the C.A.R. Housing Affordability Fund. Qualified co-buyers also can participate in the Mortgage Protection Program, and receive monthly benefits of $750 per month for up to six months.
Launched in April by the statewide Association’s non-profit C.A.R. Housing Affordability Fund, nearly 385 home buyers in California have had applications to the program approved so far, with more in the pipeline. California REALTORS® initially allocated $1 million to fund policies for the program.
“The Mortgage Protection Program was developed to help ease the anxiety of Californians concerned about potential job loss and its impact on their ability to meet their mortgage obligation,” said C.A.R. President James Liptak.
With more Californians able to afford a home than in recent years, interest rates at or near historic lows, and a wide selection of homes for sale, there may never be a better time to buy a home than today.
First-time home buyer Michael Sandoval was in the process of purchasing a home in Gilroy, Calif., when he heard about C.A.R.’s Mortgage Protection Program from his REALTOR®, Valerie Kemp of Alain Pinel REALTORS® in Morgan Hill, Calif.
“We were already looking at homes when we heard about this program,” said Sandoval. “Knowing that we have an additional security blanket should anything happen with our jobs was a relief – and the fact that it’s offered for free is like icing on the cake. It has helped us achieve the dream of homeownership and get our foot in the door.”
Attesting to the program’s success, C.A.R. also received an Ira Gribin Workforce Housing Grant for $420,000 from the NATIONAL ASSOCIATION OF REALTORS® (NAR) to issue additional Mortgage Protection Program policies beyond the initial $1 million allocated by C.A.R. for the program.
To apply for the program, home buyers must request an application for the C.A.R. Housing Affordability Fund Mortgage Protection Program from their REALTOR®. But don’t delay. C.A.R.’s Mortgage Protection Program is scheduled to run through the end of 2009.
The CALIFORNIA ASSOCIATION OF REALTORS® Housing Affordability Fund (C.A.R.H.A.F.) is a non-profit 501(c)(3) dedicated to addressing California’s housing crisis. It receives donations primarily from REALTOR® members and REALTOR® associations committed to addressing housing challenges in California. C.A.R.H.A.F. raises and distributes funds and partners with other groups to promote housing and homeownership and address housing opportunities locally and statewide.
Leading the way…® in California real estate for more than 100 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States, with more than 163,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles