The Homeowners Assistance Program in Hawaii or, as it is more commonly referred to as the HAP is widely being used by Active Duty Military in Hawaii.

The program is designed to help Service Members in Hawaii with selling their homes and the HAP makes up all or some of the shortage.  Be aware that you may get a Form 1099 and you will have to claim the amount of money brought in by HAP as income.  Consult your tax professional for further details.

This is only available to Active Duty Military in Hawaii that meet certain criteria.  The exact criteria can be found at http://hap.usace.army.mil/EP_PCS.html.

Here is another very important fact about the HAP that many Active Duty Military Veterans in Hawaii are not aware of.   If the Military Member purchased the house using a VA Loan in Hawaii and the HAP doesn’t cover 100% of loss, the VA Loan Guaranty might pick up the rest of the shortage so that the Military Veteran doesn’t have to come out of pocket with any money.  I am working on a HAP right now for an Army Helicopter Pilot who has this exact scenario.

If you own real estate in Hawaii, are an active duty service member and you need more information about HAP or short sales in Hawaii, call or email me anytime for a personal and confidential assessment of your situation.