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FREE Job-Loss Protection Plan Means Added Peace Of Mind For Our 1st-Time Home Buyers

April 4th, 2009 categories: Buying

Several days ago, I reported that we would soon be able to offer most of our first-time home buyer clients a FREE Job Loss Protection plan. Effective immediately, that plan is available.home-insurance-policy-graphic

For those not in immediate danger of losing their jobs but nevertheless concerned about what the future may hold, this plan offers both peace of mind and an opportunity to buy now while prices and interest rates are still more affordable than they’ve been in years.

This new plan will provide job loss insurance payments of up to $1,500/mo. for the primary buyer and $750/mo. for a co-borrower for up to  six full months.

And the best part…this job-loss protection policy is  F-R-E-E  to our qualified first-time buyer clients.

Some of the plan’s details:

1. It’s available only to our first-time buyers clients  (defined as any buyer who hasn’t owned a home for at least 3 years).

2. You must be a salaried (W-2) employee (it’s not available to those who are self-employed, independent contractors, business owners, season workers, or employed by their immediate family).

3. The home you buy must your principal residence.

4. Escrow must close by Dec. 31, 2009.

5. There are NO Income Limits and NO Housing Price Limits.

As with any insurance program, there are various exclusions and mandatory waiting periods. Among them:

  • You must have owned the home for at least six months before the insurance payments can begin.
  • You must have been employed for at least four consecutive months before your job was terminated.
  • Your job loss must be involuntary.
  • There is a 30-day waiting period before insurance payments will begin (in other words, there’s no coverage for the first 30 days after you lose your job; but the following six months are covered).
  • The insurance payments must be applied towards your share of the mortgage. Any remainder can be used at your discretion.
  • The plan is good for one full year from the date you receive your policy. You may have the option to renew at your own expense, but the insurer also has the right to terminate the program after the one-year policy expires.

In order to qualify, you’ll have to fill out an application plan, which we will provide to our eligible first-time buyer clients. We must sign the application and provide a copy of the purchase contract and final closing statement, verifying that we represented the buyers and that escrow closed by Dec. 31, 2009.

Unfortunately, since the start date for this insurance plan is Apr. 1, 2009, the plan is not available to first-time buyers who purchased earlier this year.

This program is funded by our state association’s Housing Affordability Fund, which means that once the funds allocated for this program are gone, the program may be discontinued (it’s expected that up to 3,000 first-time home buyers will be able to take advantage of the program).

So if you’ve been thinking of buying a home but the only thing holding you back is a broad concern that your job eventually could be in jeopardy, this new insurance policy that we’re able to provide to our qualified first-time buyer clients could be just the answer.

Of course, this policy is not for those in immediate danger of losing their jobs, for one should never take on a commitment as substantial as a new mortgage if they anticipate not being able to afford the payments.

For additional details on the plan, click here.

If you’d like more information, please contact us. We’ll be happy to set up an free introductory meeting to talk about this new program and to get you started on the path towards home ownership.

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This entry was posted on Saturday, April 4th, 2009 at 8:40 am and is filed under Buying. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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