Noteboom The Law Firm

U.S. Housing Crisis Affecting Military Personnel

February 14, 2011 - Very few people are insulated from the housing crisis that has gripped this nation. Although Department of Veterans Affairs (VA)-backed loans have gotten much positive press for having such low numbers of foreclosed upon homes, the reality is, military families have been hard hit by the current housing crisis.

Since 2008, there has been a 32% jump in foreclosure filings close to military bases. Beyond that, the Pentagon's Homeowners Assistance Program, designed to help military families save their homes, saw 12,000 families enlisting for help in the same time period. Those families were given financial assistance in the situation where they had to sell their homes for a lesser amount of money than what was owed on it because they were forced to transfer to a new post. 

Despite the strength of VA-backed loans and assistance programs, 2010 saw over 20,000 veterans, reservists, and active-duty soldiers lose their homes. This is the highest number of such incidents' since 2003, according to a recent report. These numbers may be as high as they are because of the high number of transfers as well as the excessive amount of reservists finding themselves without regular employment.

USA Cares, an organization formed to help soldiers, saw a 19% rise in the amount of military families asking for help over the last year alone. Approximately 66,000 military families received help from the Department of Veterans Affairs (VA), and this help prevented the foreclosure of their homes.

Obviously the amount of military families who did lose their homes could have been much worse. Hopefully the amount of military families needing assistance will decrease. If it does not, however, it is good to know there is at least some assistance available.