National Flood Insurance Program

 Flood Insurance: NAR Seeks to Prevent Lapse
NAR is working with congressional allies to prevent another lapse in the National Flood Insurance Program (NFIP). The program was reauthorized temporarily after a brief lapse in March and is now set to expire May 31. If the program lapses, NFIP can't issue new or renewal flood policies. NAR is lobbying for passage of several pieces of legislation that contain extensions of varying length. It is unclear which extension is likely to pass before the program expires. NAR is also working with FHA, Fannie Mae, Freddie Mac, VA, and the Federal Emergency Management Agency (FEMA) on contingency planning should another lapse occur.  We are asking the agencies to provide guidance to lenders that would enable them to continue to close loans in the event of a lapse. Given the uncertainty, members should encourage clients under contract to secure a  policy  this week. NAR will keep you informed of the latest developments at the natural disaster page of REALTOR.org.